LO2-4 PROBLEM 2.6A Preparing a Balance Sheet-A Second Problem The following list of balance sheet items are in random order for Alexander Farms, Inc. af September 30, current year. Land Barns and Sheds Notes Payable.... Accounts Receivable Citrus Trees ........ Accounts Payable Property Taxes Payable ...... Capital Stock ... $490,000 78,300 330,000 22.365 76,650 77,095 9,135 290,000 Fences and Gates .. Irrigation System ... Cash.... Livestock ....... Farm Machinery ....... Retained Earnings ... Wages Payable.... .. $ 33,570 20.125 16,710 120.780 42,970 5,820 Instructions a. Prepare a balance sheet by using these items and computing the amount for Retained Eam ings. Use a sequence of assets similar to that illustrated in Exhibit 2-10. (After Barns ang Sheds," you may list the remaining assets in any order.) Include a proper heading for your bal ance sheet. b. Assume that on September 30, immediately after this balance sheet was prepared, a tornado completely destroyed one of the barns. This barn had a cost of $14,000 and was not insured against this type of disaster. Explain what changes would be required in your September balance sheet to reflect the loss of this barn