Part C:

Workout problems, $[10$ Marks$]$

The December $31,2016,$ post$-$closing trial balance for General Mole is presented below:

$\backslash$table$[[$Account title,$],[$Cash$,$Debits,Credits$],[$Accountreceivable$,$$$35,000,],[$Inventories$,40,000,],[$Prepaid expenses,$20,000,],[$Investments$,16,000,],[$Machinery$,10,000,],[$Accumulated depreciation.,$33,000,],[$machinery$,,],[$Patent $($net amortization$),42,000,],[$Account payable,,$8,000],[$Unearned revenue,,$32,000],[$Interest payable,,$4,000],[$Bonds payable $($due $2019),,25,000],[$Ordinary share capital,,$68,000],[$Retained earnings,,$48,000],[$Totals$,,]]$

Additional Information:

a$.$ Unearned revenue represents customer payments for extended service contracts. Seventy percent of these contracts expire in $2017,$ the remaining in $2018.$

b$.$ The investment account consists of an investment in the ordinary shares of another corporation. The company's intension is to hold $$4,000$ for at least three years and sell the balance of the investment the following year.

c$.$ Prepaid expenses include $$8,000$ paid on December $31,2016,$ for two years lease on the building.

Required:

Prepare a classified statement of financial position for General Mole at December $31,2016.[5$ Marks$]$