*Each bond is convertible into twenty (20) shares of common stock at the

discretion of the bondholder.

**Each share is convertible into two (2) shares of common stock at the

discretion of the preferred share holder.

*Each bond is convertible into twenty (20) shares of common stock at the

discretion of the bond holder.

**Each share is convertible into two (2) shares of common stock at the

discretion of the preferred share holder.

Statement of Stockholders Equity for the year ending December 31, 2020

Balance Sheet at December 31, 2020

In addition to the above statements, you are to prepare the journal entries necessary to close the books for Rockford Corporation on December 31, 2020

Rockford Corporation Adjusted Trial Balance December 31, 2019 Credit 2019 Debit 280,178 $ 280,280 $ 14,014 104,200 1,281 429,002 830 5,200 3,500 165,850 99,650 306,000 91,960 70,500 47,540 38,900 19,125 40,000 15,000 181,549 4,406 9,050 15,335 400 2,600 10,955 8,740 113,000 275,000 - Account Cash Accounts Receivable Allowance for Doubtful Accounts Notes Receivable Interest Receivable Inventory Supplies Prepaid Insurance Prepaid Rent Investments - Trading Securities Land Buildings Accumulated Depreciation-Buildings Trucks Accumulated Depreciation-Trucks Equipment Accumulated Depreciation Equipment Investments - Available for Sale Securities Notes Payable Accounts Payable Salaries and Wages Payable FICA Taxes Payable Federal Income Taxes Payable Federal Withholding Taxes Payable FUTA Payable SUTA Payable Interest Payable Dividends Payable Notes Payable-Long Term Bonds Payable - $1,000 Par, 6%, Convertible* Discount on Bonds Payable Preferred Stock-8% $100 Par (10,000 authorized, 1,000 issued & outstanding) Common Stock-$1 Par (1,000,000 autorized, 100,000 issued, 65,000 outstanding) Paid-in Capital in Excess of Par-Preferred Paid-in Capital in Excess of Par-Common Retained Earnings Treasury Stock Accumulated Other Comprehensive Income Non-Controlling Interest Dividends Sales Revenue Sales Discounts Sales Returns and Allowances Cost of Goods Sold Advertising Expense Supplies Expense Freight-Out Bad Debt Expense Office Expense Depreciation Expense Insurance Expense Salaries and Wages Expense Rent Expense Payroll Tax Expense Utilities Expense Interest Revenue Net Income (after Tax) on Discontinued Operations Interest Expense Loss on Disposal of Plant Assets Loss on Disposal - Discontinued Operations (Net of Tax) Income Tax Expense Total 4,864 100,000 100,000 10,000 292,400 362,748 125,610 6,850 25,000 8,740 5,660,052 77,281 14,060 3,985,262 7,678 4,458 19,490 13,134 1,455 37,745 4,365 995,752 21,910 87,441 17,478 4,431 15,750 37,061 500 24,250 72,000 7,385,905 $ $ 7,385,905 * Each bond is convertible into twenty (20) shares of common stock at the discretion of the bond holder