On December 31, 2016, Information Inc completed its third year of operations Abdul Mukhtar is a student working part time in the companys business office while taking his first accounting course Abdul assembled the following list of account balances, which are not arranged in any particular order Accounts Receivable $150,000 Advertising Expense $ 76,000 Interest Expense 2,000 Cash 20,000 Notes Receivable 26,000 Inventory 140,000 Cost of Goods Sold 590,000 Dividends Declared 12,000 Common Shares 570,000 Unearned Revenue 6,000 Building 360,000 Insurance Expense 6,300 Accumulated Depreciation, Equipment 20,000 Retained Earnings (as at January 1, 2016) 177,000 Land 160,000 Equipment 200,000 Accumulated Depreciation, Building 40,000 Miscellaneous Expense 5,200 Sales 963,000 Accounts Payable 72,700 Utilities Expense 2,500 Wages Expense 125,000 Notes Payable 30,000 Supplies 3,700 These account amounts are correct, but Abdul did not consider the following information 1 The amount shown as insurance expense includes $1,200 for coverage during the first two months of 2017 2 The note receivable is a six month note that has been outstanding for four months The interest rate is 10 per year The interest will be received by the company when the note becomes due at the end of February 2017 3 As at December 31, 2016, the supplies still on hand had a cost of $850 4 On November 1, 2016, the company rented surplus space in its building to a tenant for $900 per month The tenant paid for six months in advance 5 Depreciation for 2016 is $12,000 on the building and $23,000 on the equipment 6 Employees earned $4,300 of salaries in December 2016 that will not be paid until the first scheduled payday in 2017 7 Additional dividends of $46,000 were declared in December 2016, but will not be paid until January 2017 a Determine the amounts that would appear in an adjusted trial balance for Information Inc as at December 31, 2016 b Prepare a statement of income for the year ended December 31, 2016 c Calculate the amount of retained earnings as at December 31, 2016 d Prepare a classified statement of financial position as at December 31, 2016

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On December 31, 2016, Information Inc. completed its third year of operations. Abdul Mukhtar is a student working part-time in the companys business office while

On December 31, 2016, Information Inc. completed its third year of operations. Abdul Mukhtar is a student working part-time in the companys business office while taking his first accounting course. Abdul assembled the following list of account balances, which are not arranged in any particular order:

Accounts Receivable	$150,000	Advertising Expense	$ 76,000
Interest Expense	2,000	Cash	20,000
Notes Receivable	26,000	Inventory	140,000
Cost of Goods Sold	590,000	Dividends Declared	12,000
Common Shares	570,000	Unearned Revenue	6,000
Building	360,000	Insurance Expense	6,300
Accumulated Depreciation, Equipment	20,000	Retained Earnings (as at January 1, 2016)	177,000
Land	160,000	Equipment	200,000
Accumulated Depreciation, Building	40,000	Miscellaneous Expense	5,200
Sales	963,000	Accounts Payable	72,700
Utilities Expense	2,500	Wages Expense	125,000
Notes Payable	30,000	Supplies	3,700

These account amounts are correct, but Abdul did not consider the following information:

1.	The amount shown as insurance expense includes $1,200 for coverage during the first two months of 2017.
2.	The note receivable is a six-month note that has been outstanding for four months. The interest rate is 10% per year. The interest will be received by the company when the note becomes due at the end of February 2017.
3.	As at December 31, 2016, the supplies still on hand had a cost of $850.
4.	On November 1, 2016, the company rented surplus space in its building to a tenant for $900 per month. The tenant paid for six months in advance.
5.	Depreciation for 2016 is $12,000 on the building and $23,000 on the equipment.
6.	Employees earned $4,300 of salaries in December 2016 that will not be paid until the first scheduled payday in 2017.
7.	Additional dividends of $46,000 were declared in December 2016, but will not be paid until January 2017.

a. Determine the amounts that would appear in an adjusted trial balance for Information Inc. as at December 31, 2016. b. Prepare a statement of income for the year ended December 31, 2016. c. Calculate the amount of retained earnings as at December 31, 2016. d. Prepare a classified statement of financial position as at December 31, 2016.