Use the information below to adjust the items in questions (16-24) ABC company began its activities at Dec,31,2014 by consolidating A,B, and C companies, registered all its assets with fair value. The following are items of B/S for 2014 and 2015: For 2014 Cash and A/R = 400 Inventory = 300 Lands = 80 Machines 420 Acc. Depreciation = 0 Current liabilities = 160 Long term liabilities = 200 Capital ( common stocks ) = 280 Premium issue = 560 Retain earnings = 0 = 260 For 2015 : Cash and A/R = 520 Inventory Lands = 80 Machines = 540 Acc Depreciation = 48 Current liabilities = 180 Long term liabilities = 232 Capital ( common stocks) = 280 Premium issue = 560 Retained earnings = 100 The following are items of income statement for 2015: Sales = 1600 Purchases = 1000 Beginning inventory = 300 Ending inventory = 260 Depreciation expense = 48 Other expenses = 192 Tax expense 140 Proposed dividends = 80 - Notes: 1. Prices of index numbers : 140% at 31/12/2014 150% the mean of 2015 160% at 31/12/2015 2. A machine of 120 JD cost was purchased at 1/7/2015. depreciated at 10% using straight line method. 3. Dividends were paid at 31/12/2015 16. Cash and A/R of B/S of 31/12/2014 adjusted by JD price at 31/12/2015 (2 points) 426.67 350 594.28 457.14