Question 14 (10 points)

Financial Statements

1. Prepare a Balance Sheet for Shoes R Us as at 30 June 2020 using the following information that was obtained from a finished worksheet:

Account	Amount
Stock	15 000
Prepaid rent	26 000
Rates expense	3 000
Cost of goods sold	15 000
Drawings	56 000
Land	44 000
Accounts payable	156 000
Bank loan	43 000
Beginning capital	163 000
Accounts receivable	19 000
Accumulated depreciation - building	156 000
Net profit or loss	?
Sales revenue	45 000
Cash at bank	132 000
Building	301 000

2. Explain an asset in accordance with the definition and recognition criteria under the conceptual framework (use the text box below the table for your answer) .