The trial balance of Zhang Ltd. at December 31, 2020, follows:

Instructions

a. Prepare a classified statement of financial position as at December 31, 2020. Ignore income taxes.

b. Digging Deeper Is there any situation where it would make more sense to have a statement of financial position that is not classified? If so, explain what it is and why.

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Credits Debits $ 205,000 Cash Sales revenue $ 8,010,000 FV-NI investments (at fair value) 153,000 4,800,000 Cost of goods sold Bond investment at amortized cost FV-OCI investments (fair value $345,000) 299,000 277,000 Notes payable (due in six months) Accounts payable Selling expenses 98,000 645,000 1,860,000 13,000 Investment income or loss* Land 260,000 Buildings Dividends payable Income tax payable Accounts receivable Accumulated depreciation-buildings 1,040,000 36,000 96,000 515,000 152,000 Allowance for doubtful accounts 25,000 Administrative expenses Interest expense Inventory Gain on disposal of land 900,000 211,000 687,000 60,000 Dividends 40,000 Notes payable (due in five years) Equipment Bonds payable (due in three years) Accumulated depreciation-equipment Intangible assets-franchises (net) Common shares 900,000 600,000 1,000,000 60,000 160,000 809,000 Intangible assets-patents (net) Retained earnings Accumulated other comprehensive income 195,000 218,000 80,000 Totals $12,202,000 $12,202,000