! Required information Problem 2-5A Computing net income from equity analysis, preparing a balance sheet, and computing the debt ratio LO C2, A1, A2, P3 (The following information applies to the questions displayed below.) The accounting records of Nettle Distribution show the following assets and liabilities as of December 31, 2016 and 2017. 51 December 31 Cash Accounts receivable Office supplies Office equipment Trucks Building Land Accounts payable Note payable 2016 $ 64,300 26,240 3,160 44,000 148,000 0 0 3,500 0 2017 15,640 19,100 1,960 44,000 157,000 80,000 60,000 33,500 40,000 Required: 1. Prepare balance sheets for the business as of December 31, 2016 and 2017. (Hint: Report only total equity on the balance sheet and remember that total equity equals the difference between assets and liabilities.) NETTLE DISTRIBUTION Balance Sheet December 31, 2016 Liabilities Assets Equity Total equity 0 Total liabilities and equity Total assets $ $ 0 NETTLE DISTRIBUTION Balance Sheet December 31, 2017 Liabilities Assets Total liabilities Equity Total equity 0 Total liabilities and equity Total assets $ $ 0