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2 The following adjusted trial balance is prepared at December 31, 2019 for Testa Company. Testa Compa categorizes the following accounts as selling expenses: Depreciation

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2 The following adjusted trial balance is prepared at December 31, 2019 for Testa Company. Testa Compa categorizes the following accounts as selling expenses: Depreciation Expense - Store Equipment, Sales Sa Expense, Rent Expense - Selling Space, Store Supplies Expense and Advertising Expense. It categorizes an remaining expenses as general and administrative. Prepare a multi-step income statement, a statement of owners equity and a classified balance sheet for Company for the year ended December 31, 2019 (30 Points). 10,000 15,000 25,000 7,000 5,000 300,000 60,000 12,000 6,000 50,000 75,000 Testa Company Adjusted Trial Balance December 31, 2019 Cash Accounts Receivable Inventory Office Supplies Prepaid Insurance Store Equipment A/D Store Equipment Accounts Payable Salaries Payable Long-Term Debt Testa, Capital Testa, Withdrawals Gross Sales Sales Discounts Sales Returns & Allowances Cost of Goods Sold Depreciation Expense - Store Equipment Sales Salaries Expense Office Salaries Expense Insurance Expense Rent Expense - Selling Space Rent Expense - Office Space Stores Supplies Expense Office Supplies Expense Advertising Expense Totals 4,000 750,000 ho 16,000 18,000 378,000 30,000 40,000 60,000 2,000 15.000 20,000 2,500 1,500 4,000 953,000 953,000

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