Financial Statements

Mackenzie, Inc. uses a perpetual inventory system and has prepared the followingadjusted trial balanceon December 31, 2013:

Debit	Credit
Cash	$2,450
Accounts Receivable	3,090
Allowance for Doubtful Accounts	$100
Inventory	7,360
Prepaid Insurance	770
Land	5,300
Buildings and Equipment	33,100
Accumulated Depreciation	14,700
Accounts Payable	$2,570
Salaries Payable	330
Unearned Rent	350
Income Taxes Payable	1,515
Note Payable (due July 1, 2017)	4,250
Interest Payable (due July 1, 2017)	770
Common Stock (1,700 shares)	10,200
Retained Earnings, January 1, 2013	15,110
Dividends	$1,360
Sales Revenue	32,020
Sales Returns	3,290
Rent Revenue	1,490
Cost of Goods Sold	16,570
Selling Expenses	4,720
Administrative Expenses	3,110
Interest Expense	770
Income Tax Expense	1,515
Totals	$83,405	$83,405

Required:

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1. Prepare in proper form for 2013 the company's income statement. Round earnings per share computation to two decimal places.

MACKENZIE INC.
Income Statement
For the Year Ended December 31, 2013
	$
	$
	$
	$
	$
	$
	$
	$

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2. Prepare in proper form for 2013 the company's statement of retained earnings.

MACKENZIE INC.
Statement of Retained Earnings
For the Year Ended December 31, 2013
	$
$
	$

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3. Prepare in proper form for 2013 the company's balance sheet at December 31, 2013.

MACKENZIE INC.
Balance Sheet
December 31, 2013
Assets
Current Assets
	$
	$
	$
	$
	$
	$
	$
Liabilities
Current Liabilities
	$
	$
	$
	$
	$
Shareholders' Equity
Contributed Capital
	$
	$

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4. Prepare in proper form for 2013 the company's closing entries in the general journal. For a compound transaction, if an amount box does not require an entry, leave it blank or enter "0".

Dec. 31
Dec. 31
Dec. 31
Dec. 31

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Question 8 of 8005_Problem 03-08 (Algorithmic)