ORIOLE COMPANY

Balance Sheet

December $31,2021$

During January $2022,$ the following transactions occurred. $($Oriole Company uses the perpetual inventory system.$)$

Oriole paid $$260$ interest on the note payable on January $1,2022.$ The note is due December $31,2023.$

Oriole purchased $$271,544$ of inventory on account.

Oriole sold for $$457,600$ cash, inventory which cost $$275,600.$ Oriole also collected $$29,744$ in sales taxes.

Oriole paid $$239,200$ in accounts payable.

Oriole paid $$17,680$ in sales taxes to the state.

Paid other operating expenses of $$31,200.$

On January $31,2022,$ the payroll for the month consists of salaries and wages of $$72,000.$ All salaries and wages are subject

to $7\mathrm{.}65\%$ FICA taxes. A total of $$9,280$ federal income taxes are withheld. The salaries and wages are paid on February $1.$

Adjustment data:

Interest expense of $$260$ has been incurred in January on the notes payable.

The insurance for the year $2022$ was prepaid on December $31,2021.$

The equipment was acquired on December $31,2021,$ and will be depreciated on a straight$-$line basis over $5$ years with a

$$2,080$ salvage value.

Employer's payroll taxes include $7\mathrm{.}65\%$ FICA taxes, a $5\mathrm{.}4\%$ state unemployment tax, and an $0\mathrm{.}6\%$ federal unemployment tax.Prepare a classifed balance sheet as of lanuary $31.202\mathrm{.}2.$ Lhat current assets in order of liquidity. Round answes to $0$ decimal places,

e$.$g$.5\mathrm{.}275.$

ORIOUE COMPANY

Balance shoct

Assets

$

Liabilities and Owner's Equity

$5$