2019 trail balnce sheet
2018 trail balance sheet
Scenario: You are an accountant at Rock Castle Construction. Your boss has asked that you create general purpose financial statements from a trial balance that he has created for you. Additionally, the company is for sale and you need to draft a letter to potential buyers explaining the overall financial health and profitability of the business. You should use several appropriate financial measure formulas as evidence (hint: we covered a few of the many possible formulas in discussion posts). Your boss has strongly reminded you that the company needs to sell or you may be out of a job. You have been strongly encouraged to write a very positive letter to potential buyers. Generally, buyers are most interested in knowing about profits. Required: 1.) Create the four general purpose financial statements for the year ended Dec 31, 2019 1.e. Income statement, Balance Sheet, Statement of Owners Equity/Retained Earnings, Statement of Cash Flows (some cash flow will come from the 2018 trail sheet.) 2.) Write a letter to potential buyers. f D E E A B Dec 31, 19 1 Debil eredit 2 3 17,910.19 35,068.48 755.05 4 92.707.93 5 6 7 2,440.00 30,683.38 9 10 10300 - Savings 10100 . Checking 10400 - Petty Cash 11000. Accounts Receivable 12000 - Undeposited Funds 12100. Inventory Asset 12800. Employee Advances 13100 - Pre-paid Insurance 13400 - Retainage Receivable 1600 scooter 15000 - Furniture and Equipment 15100 - Vehicles 15200 - Buildings and improvements 15300 Construction Equipment 16900 - Land 832.00 4,050.00 3,703.02 11 4,000.00 34,326.00 78,936.91 325,000.00 15,300.00 90.000,00 12 13 14 15 16 17 18 19 20 21 22 110,344.60 1720.00 17000 - Accumulated Depreciation 18700 - Security Deposits 20000 - Accounts Payable 20500 QuickBooks Credit Card 20600. Caloil Credit Card 15.536.30 150,094.20 382.62 Trial Balance 2019 Trial Balance 2018 f D E B Dec 31, 19 Debit Credit 1,364.00 2.118.82 0.00 100.00 299.19 110.00 48.13 1 2 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 1.214.31 150.00 24000. Payroll Liabilities:24010 - Federal Withholding 24000. Payroll Liabilities: 24020. FICA Payable 24000. Payroll Liabilities:24030 - AEIC Payable 24000. Payroll Liabilities:24040 - FUTA Payable 24000. Payroll Liabilities:24050. State Withholding 24000. Payroll Liabilities:24060 SUTA Payable 24000 - Payroll Liabilities:24070 - State Disability Payable 24000 - Payroll Liabilities:24080 - Worker's Compensation 24000 - Payroll Liabilities:24100 - Emp. Health Ins Payable 25500 Sales Tax Payable 2600 Scooter Loan 23000. Loan - Vehicles (Van) 23100 - Loan - Vehicles (Utility Truck) 23200. Loan - Vehicles (Pickup Truck) 28100 Loan - Construction Equipment 28200 - Loan - Furniture Office Equip 28700 Note Payable. Bank of Anycity 28900. Mortgage - Office Building 30100. Capital Stock 32000. Retained Earnings 957.63 4,000.00 10.501.47 19,936.91 22,641.00 13.911 32 21.000.00 39 2.693.21 296,283.00 40 41 39 273.75 61.756.76 42 Trial Balance 2019 Trial Balance 2018 D E B Dec 31, 19 Debit 1 2 Credit 0.00 40100. Construction Income 43 44 45 46 36,729.25 208,225.42 119.920.67 82,710.35 47 49.35 1,223.75 896.05 14,766.19 1,850.00 99,435.90 40100 Construction Income:40110 Design Income 40100 - Construction Income:40130 - Labor Income 40100 Construction Income:40140 - Materials Income 40100 Construction Income:40150 - Subcontracted Labor Income 40100 Construction Income:40199 . Less Discounts given 40500. Reimbursement Income:40520 - Permit Reimbursement Income 40500 - Reimbursement Income:40530 Reimbursed Freight & Delivery 50100. Cost of Goods Sold 54000 Job Expenses:54200 - Equipment Rental 54000. Job Expenses:54300 - Job Materials 54000. Job Expenses:54400. Permits and Licenses 54000 Job Expenses:14500 Subcontractors 54000. Job Expenses:54520 Freight & Delivery 54000 Job Expenses:54599 Less Discounts Taken food 60100 - Automobile:60110. Fuel 60100 - Automobile:60120. Insurance 60100. Automobile:60130 - Repairs and Maintenance 60300 - Bad debt 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 700.00 63,217.95 797 10 201.81 44.95 1.588.70 2.850.24 2,406.00 300.00 Trial Balance 2019 Trial Balance 2018 D E A B 00 Dec 31, 19 Debil Credit 125.00 582.06 5,885.96 13,657.07 151,995.65 110,400.10 8,445.61 268.00 1.233.50 1 2 53 54 65 56 67 58 59 70 71 72 773 74 75 76 177 78 79 30 81 82 60600. Bank Service Charges 62100. Insurance:62110 - Disability Insurance 62100 - Insurance:62120 - Liability Insurance 62100 . Insurance:62130. Work Comp 62400 - Interest Expense:62420 . Loan Interest 62700. Payroll Expenses:62710 - Gross Wages 62700. Payroll Expenses:62720. Payroll Taxes 62700. Payroll Expenses:62730 - FUTA Expense 62700. Payroll Expenses:62740 - SUTA Expense 63100. Postage 63600 Professional Fees:63610 - Accounting 64200 Repairs:64210 - Building Repairs 64200 Repairs:64220 - Computer Repairs 64200 Repairs:64230 - Equipment Repairs 64800. Tools and Machinery 65100 Utilities:65110 Gas and Electric 65100 Utilities:65120. Telephone 65100 Utilities:65130 - Water 104.20 250.00 N65 175.00 0.00 1,350.00 2.820.68 1.164.16 841.15 264.00 146.80 70100 - Other Income 229 16 70200. Interest Income Trial Balance 2019 Trial Balance 2018 A E B D Dec 31, 19 1 Debit Credit N 1.225,000.48 1,225,000.48 83 TOTAL 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 Trial Balance 2019 Trial Balance 2018 E D B A B 1 Create N 3 4 Dec 31, 18 Debit 15,881.03 36,810.16 500.00 21,249.39 18,252.08 12,767.04 770.00 5 6 7 GOO 9 8 9 10 11 12 13 4,943.02 1,796.72 10300 Savings 10100 . Checking 10400. Petty Cash 11000. Accounts Receivable 12000 . Undeposited Funds 12100 - Inventory Asset 12800 - Employee Advances 13100 - Pre-paid Insurance 13400 - Retainage Receivable 15000 - Furniture and Equipment 15100. Vehicles 15200 Buildings and Improvements 15300 Construction Equipment 16900. Land 17000 - Accumulated Depreciation 18700 Security Deposits 20000 Accounts Payable 20500 QuickBooks Credit Card 20600. CalOil Credit Card 24000 Payroll Liabilities:24010. Federal Withholding 22.826.00 78.936.91 325,000.00 15,300.00 90,000.00 14 15 16 17 110,344.60 1.720,00 18 19 13.100.00 0.00 20 530.00 21 22 0.00 Trial Balance 2019 Trial Balance 2018 A D Dec 31, 18 1 Debit eredit 0.00 0.00 0.00 24000. Payroll Liabilities:24020 - FICA Payable 24000. Payroll Liabilities:24040 - FUTA Payable 24000. Payroll Liabilities:24050. State Withholding 24000. Payroll Liabilities:24060. SUTA Payable 24000 - Payroll Liabilities:24070 . State Disability Payable 24000. Payroll Liabilities:24080 Worker's Compensation 0.00 0.00 0.00 72.18 23 24 25 26 27 28 29 30 31 32 33 34 35 36 16.290.52 19.936.91 22,641.00 14,343.11 21,000.00 31,180.52 25500 : Sales Tax Payable 23000 Loan - Vehicles (Van) 23100 Loan - Vehicles (Utility Truck) 23200. Loan - Vehicles (Pickup Truck) 28100 - Loan - Construction Equipment 28200. Loan - Furniture Office Equip 28700 - Note Payable - Bank of Anycity 28900 - Mortgage - Office Building 30100 Capital Stock 32000 Retained Earnings 40100 Construction Income:40110 - Design Income 40100 Construction Income:40130. Labor Income 40100 Construction Income: 40140 - Materials Income 40100 Construction Income:40150 Subcontracted Labor Income 296.283.00 37 38 39 40 41 39.273.75 36.213.97 3,400.00 16,335.00 36,023.27 42 112,666.50 Trial Balance 2019 Trial Balance 2018 D E A B B C Dec 31, 18 Debit credit 835.00 5.620.96 1 2 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 12,171.60 225.00 53,350.00 1,715.00 2,850.24 2,550.00 150.00 44,435.91 40500. Reimbursement Income:40520 - Permit Reimbursement Income 50100 - Cost of Goods Sold 54000. Job Expenses:54300 - Job Materials 54000. Job Expenses:54400. Permits and Licenses 54000 Job Expenses:54500. Subcontractors 60100 - Automobile:60110 . Fuel 60100. Automobile:60120 . Insurance 60100 Automobile:60130 Repairs and Maintenance 60600. Bank Service Charges 60900. Depreciation Expense 62100. Insurance:62110 - Disability Insurance 62100. Insurance:62120 - Liability Insurance 62100. Insurance:62130. Work Comp 62400. Interest Expense:62420 Loan Interest 63600 - Professional Fees:63610 Accounting 64200 Repairs:64220 - Computer Repairs 64200. Repairs:64230 - Equipment Repairs 64800 Tools and Machinery 65100 - Utilities:65110 . Gas and Electric 65100 Utilities:65120. Telephone 600.00 5.092.98 3,300.00 4.705.48 250.00 714.00 1.800.00 59 1,457 91 1.841.43 60 61 62 880.00 Thiel Balance 2019 Trial Balance 2018 A B E Dec 31, 18 Debit credit 65100 Utilities:65130 Water 288.00 70200. Interest Income 281.03 790,750.86 790.750.86 TOTAL 1 2 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 Trial Balance 2019 Trial Balance 2018
