13.1A (Algo) Preparing classified financial statements. LO 13-1, 13-2, 13-3 Superior Hardwood Company distributes hardwood products to small furniture manufacturers. The adjusted trial balance data given below is from the firm's worksheet for the year ended December 31, 20X1. ACCOUNTS Cash Petty Cash Fund Notes Receivable, due 20X2 Accounts Receivable Debit 23,900 600 Credit 11,600 94,000 Allowance for Doubtful Accounts $ 5,800 Merchandise Inventory 232,000 Warehouse Supplies 2,840 Office Supplies 1,400 Prepaid Insurance 9,600 Land 44,000 Building 176,000 Accumulated Depreciation-Building 52,800 Warehouse Equipment 36,000 Accumulated Depreciation-Warehouse Equipment 16,800 Delivery Equipment 50,000 Accumulated Depreciation-Delivery Equipment 19,200 Office Equipment 24,000 Accumulated Depreciation-Office Equipment 11,400 Notes Payable, due 20X2 20,000 Accounts Payable 38,800 Interest Payable 560 Mortgage Payable 60,000 Loans Payable, Long-term 16,000 Charles Ronie, Capital (Jan. 1) 449,760 Charles Ronie, Drawing 126,800 Income Summary 242,000 232,000 Sales 1,681,000 Sales Returns and Allowances 18,000 Interest Income 1,560 Purchases 765,000 Freight In 13,600 Purchases Returns and Allowances 8,240 Purchases Discounts 10,960 Warehouse Wages Expense 197,600 Warehouse Supplies Expense 6,900 Depreciation Expense-Warehouse Equipment 5,600 Salaries Expense-Sales 267,200 Travel and Entertainment Expense 21,300 Delivery Wages Expense 60,130 Depreciation Expense-Delivery Equipment 9,600 Salaries Expense-Office 70,400 Office Supplies Expense 3,800 Insurance Expense 6,000 Utilities Expense 9,090 Telephone Expense 6,320 Payroll Taxes Expense 58,000 Property Taxes Expense 5,400 Uncollectible Accounts Expense 5,600 Depreciation Expense-Building 8,800 Depreciation Expense-Office Equipment 3,800 Required: 1. Prepare a classified income statement for the year ended December 31, 20X1. The expense accounts represent warehouse expenses, selling expenses, and general and administrative expenses. 2. Prepare a statement of owner's equity for the year ended December 31, 20X1. No additional investments were made during the year. 3. Prepare a classified balance sheet as of December 31, 20X1. The mortgage payable extends for more than a year. Analyze: What is the current ratio for this business? Required 1 Required 2 Required 3 Analyze Prepare a classified balance sheet as of December 31, 20X1. The mortgage pay= SUPERIOR HARDWOOD COMPANY Assets Current assets Prepaid expenses Total current assets Plant and equipment Building Warehouse equipment Delivery equipment Balance Sheet 0 $ 0 Office equipment Total plant and equipment 0 $ Total assets 0 Liability and Owner's Equity Current liabilities Total current liabilities Long-term liabilities Total long-term liabilities Total liabilities Owner's equity $ 0 $ 0 $ 0 Total liabilities and owner's equity $ 0 Required 1 Required 2 Required 3 Analyze What is the current ratio for this business? (Round your answer to 2 decimal places.) Current ratio to 1 < Required 3 Analyze >