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Based on the Trial Balance below and the Statement of Retained Earnings create a Balance Sheet Statement: ACCT # Account Name Debit Credit 1000 Cash

Based on the Trial Balance below and the Statement of Retained Earnings create a Balance Sheet Statement:

ACCT #

Account Name

Debit

Credit

1000

Cash

$402,575

1030

Treasury Bills

$100,000

1031

Municiple Bonds

$104,425

1032

Investments

$770,500

1210

Accounts Receivable

$30,000

1400

Inventory

$20,000

1500

Furniture and Fixtures

$0

1599

Accumulated Depreciation

$30,000

2000

Accounts Payable

$40,000

3000

Common Stock

$0

3500

Retained Earnings

$65,000

4000

Gross Sales

$3,900,000

4100

Sales Returns

$20,000

5000

Cost of Goods Sold

$1,080,000

6000

Legal and Professional Fees

$20,000

6020

Advertising Expense

$50,000

6080

Charitable Contributions

$79,000

6150

Premiums on Key Person Life Insurance Policy

$45,500

6500

Rent Expense

$120,000

6600

Employee Wages

$150,000

6601

Officer Salaries

$400,000

7010

Interest Income: Taxable

$10,000

7011

Interest Income: NonTaxable

$7,000

7020

Dividend Income

$30,000

8100

Depreciation

$30,000

8200

Interest Expense

$50,000

9000

Federal Income Tax Expense

$360,000

9010

State Income and Payroll Taxes Paid

$40,000

$3,977,000

$3,977,000

Statement of Retained Earnings

For the Year Ending December 31, 2019

Retained Earnings, Jan. 1

$ 650,000

Add: Net Income

$ 1,627,000

$ 2,277,000

Less: Dividends

$ (1,692,000)

Retained Earnings, Dec. 31

$ 585,000

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