Balance Sheet & Income Statement Coast Ltd., which has just started trading on 1 January 2019, has the following account balances prior to the recording of the final month of the year: Account Balances as at 30 November 2019 Account S Cash S16 000 Accounts receivable $5 500 Stock of Supplies $10 200 Property, Plant & Equipment -cost $40 000 Accounts payable S2 000 Bank Loan S12 000 Contributed capital (40 000 shares) S60 000 Sales revenue S88 000 Operating expenses (excluding depreciation) S50 000 Other operating income S5 800 Cost of goods sold $45 000 Interest expense Si 100 In December 2019, the following transactions took place: 1. Credit purchases of goods $31,000. 2. Credit sales $38,000 (cost of goods sold $16,000). 3. Cash sales $20,000 (cost of goods sold $14,000). 4. Paid wages for December $1,300. 5. Received $20,000 from debtors. 6. At the end of December, sold off an equipment that has costed $7,000 at the price of $4,000. The yearly depreciation expense of this equipment was $1,500. 7. Paid an amount of rent. Additional information as below: 1. Operating expenses above include rent and wages but exclude depreciation. Annual rental expense is $7200. As at 31 December 2019, there is an accrued rental expense of $300. The interest rate of the bank loan of $12,000 is 10% per annum. The bank loan was acquired on 1 January 2019. 2. Annual depreciation expense for the property, plant & equipment before the disposal of the equipment at transaction 7 was $10,000. Required: 1. Record the Account balances prior to adjustments in the workbook. Then, calculate and record the Adjustments in the workbook, total and balance the workbook. Indicate the transaction and additional information number accordingly in the workbook. 2. Prepare a properly formatted Balance Sheet as at 31 December 2019 and Income Statement for the year ended 31 December 2019