Prepare a December adjusted trial balance

Trial Balance
December 31, 2014
Account	Debit	Credit
Cash	$43,500
Accounts Receivable	53,500
Allowance for Doubtful Accounts	1,500
Notes Receivable	30,000
Merchandise Inventory	55,000
Land	20,000
Building	150,000
Accumulated Depreciation, Building		$15,000
Equipment	50,000
Accumulated Depreciation, Equipment		21,000
Goodwill	26,000
Accounts Payable		25,000
Long Term Notes Payable		75,000
Common Stock, $10 par, 2,000 shares authorized & outstanding		20,000
Retained Earnings		147,000
Sales Revenue		700,000
Salaries Expense	150,000
Utilities Expense	3,500
Cost of Goods Sold	350,000
Administrative Expenses	55,000
Sales Expenses	15,000	_______
Totals	$1,003,000	$1,003,000

a. Notes Receivable is a 3-months, 6% note accepted on November 1

b. Long Term Notes Payable is a 5-year, 5% note, that was signed on July 1, 2014. Interest is payable annually.

c. Building is depreciated at 3% per year. There is no salvage value.

d. Equipment is depreciated at 15% year. There is no salvage value

e. Floppy discovered, on December 30^th, that the inexperienced bookkeeper recorded in the general journal and general ledger that day's $1,500 cash sales as a debit to Accounts Receivable and a credit to Sales Revenue

f. The year-end physical count for Merchandise Inventory reflected a value of $51,500. Any difference in value will not be considered theft or loss.

g. Salaries for the last half of December, payable in January, amount to $5,500.

h. Floppy estimates that of the Accounts Receivable 5% will not be collectable.