a. Prepare the comparative balance sheet in narrative format as at 31 December 2013 and 31 December

Question:

a. Prepare the comparative in narrative format as at 31 December 2013 and 31 December 2012.
b. Comment on the financial position of the entity in 2013 relative to 2012. For this purpose, assume that the owner withdrew $10 000 during the 2013 year for personal use.
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...