Problem one:

Refer to CTP1.5 on page 1-45, but instead of a memo, make a corrected Balance Sheet. Important additional information:a) assume that the Notes Payable is due 1 March 2022: b) "Dividends" is different from "Dividends Payable"--you may assume that the $2,000 of dividends were paid; c) the company uses a Retained Earning account; d) profit for the period was $3,000; and the Cash account should have a balance of $12,000 instead of the $9,000 shown in the textbook.

CT1.5 Erin Danielle, the bookkeeper for Liverpool Ltd., has been trying to determine the correct statement of financial position for the company. The company's statement of financial position is shown below. Liverpool Ltd. Statement of Financial Position For the Month Ended December 31, 2020 Assets Liabilities Equipment f25,500 Share capital-ordinary E26,000 Cash 9,000 Accounts receivable (5,000) Supplies 3,000 Dividends (2,000) Accounts payable (8,000) Notes payable 10,500 f29,500 L29,500 Instructions Explain to Erin Danielle in a memo why the original statement of financial position is incorrect, and what should be done to correct it.P1.5 (LO 4, 5) Writing Financial statement information about four different companies is as follows. Determine financial statement amounts and prepare retained earnings statement. Crosby Stills Nash Young Company Company Company Company January 1, 2020 Assets HK$ 900,000 HK$ 1,100,000 (g) HK$1,500,000 Liabilities 650,000 (d) HK$ 750,000 Equity (a) 500,000 450,000 1,000,000 December 31, 2020 Assets (b) 1,370,000 2,000,000 (k) Liabilities 550,000 750,000 (h) 800,000 Equity 400,000 (e) 1,300,000 1,400,000 Equity changes in year Additional investment (c) 150,000 100,000 150,000 Dividends 100,000 (f) 140,000 100,000 Total revenues 3,500,000 4,200,000 (i) 5,000,000 Total expenses (D 3,300,000 3,850,000 3,420,000 Instructions HK$250,000.) a. Determine the missing amounts. (Hint: For example, to solve for (a), Assets - Liabilities = Equity = b. Prepare the retained earnings statement for Stills Company. Assume beginning retained earnings was HK$200,000. c. Write a memorandum explaining the sequence for preparing financial statements and the interrelationship of the retained earnings statement to the income statement and statement of financial position