The adjusted trial balance for Karr Bowling Alley at December 31, 2010, contains the following accounts.

Instructions(a) Prepare a classified balance sheet; assume that $13,900 of the note payable will be paid in 2011.(b) Comment on the liquidity of thecompany.

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Debits Credits Building Accounts Receivable Prepaid Insurance $128,800 Sue Karr. Capital 14.520 Accumulated Depreciation–Building 4,680 Accounts Payable 18,040 Note Payable 62.400 Accumulated Depreciation-Equipment 64,000 Interest Payable 780 Bowling Revenues $115.000 12.300 Cash Equipment Land Insurance Expense Depreciation Expense Interest Expense 97.780 18.720 2.600 14.180 $303.180 7.360 2,600 $303.180