Required Information E2-11 Recording Journal Entries and Preparing a Classifled Balance Sheet [LO 2-1, LO 2-2, LO 2-5) Assume Down, Inc., was organized on May 1 to compete with Despair, Inc.-a company that sells de-motivational posters and office products. Down, Inc., encountered the following events during its first month of operations. a Received $30,000 cash from the investors who organized Down, Inc. b. Borrowed $15,000 cash and signed a note due in two years. c Ordered equipment costing $12,000. d. Purchased $6.000 in equipment paying $2.000 in cash and signing a six-month note for the balance. e Received the equipment ordered in 19. pald for half of it, and put the rest on account. E2-11 Part 3 3. Prepare a classified balance sheet at May 31. Include Retained Earnings with a balance of zero. Answer is not complete. Assets DOWN.INC Balance Sheet At May 31 Liabilities Current Liabilities $ 37,000 Accounts Payable Notes Payable (short-term) OOO Current Assets Cash olo Total Current Assets > 37.000 0 Total Current Liabilities Notes Payable (long-term) OO Equipment Is 18.000 0 0 0 Total Assets 0 55,000 IS