Problem 3-5B Prepare financial statements from an adjusted trial balance (LO3-5) Orange Designs provides consulting services related to home decoration. Orange Designs provides customers with recommendations for a full range of home decor, including window treatments, carpet and wood flooring, paint colors, furniture, and much more. Below is the year-end adjusted trial balance of Orange Designs. ORANGE DESIGNS Adjusted Trial Balance December 31, 2021 Accounts Cash Accounts Receivable Supplies Prepaid Rent Building Accumulated Depreciation Accounts Payable Salaries Payable Utilities Payable Notes Payable (due in four years) Common Stock Retained Earnings Service Revenues Salaries Expense Rent Expense Depreciation Expense Supplies Expense Advertising Expense Utilities Expense Interest Expense Totals Debits Credits $ 4,700 3,700 1,700 5,700 107,000 $ 20,700 2.700 3,700 1,100 17,000 47,000 14,700 115,800 41,700 17,700 6,700 7,700 12,700 11,700 1.700 $222,700 $222,700 Required: 1. Prepare an income statement for the year ended December 31, 2021. 2. Prepare the statement of stockholders' equity, note that during the year the company issued additional common stock of $11,000. This amount is included in the amount for Common Stock in the adjusted trial balance, 29 Totals $222,700 $222,700 Required: 1. Prepare an income statement for the year ended December 31, 2021 2. Prepare the statement of stockholders' equity, note that during the year the company issued additional common stock of $11,000 This amount is included in the amount for Common Stock in the adjusted trial balance. 3. Prepare the classified balance sheet for the year ended December 31, 2021, Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare an income statement for the year ended December 31, 2021. ORANGE DESIGNS Income Statment For the Year Ended December 31, 2021 3. Prepare the classified balance sheet for the year ended December 31, 2021. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare an income statement for the year ended December 31, 2021. ORANGE DESIGNS Income Statment For the Year Ended December 31, 2021 Expenses: Total Expenses $ 0 This amount is included in the amount for Common Stock in the adjusted trial balance. 3. Prepare the classified balance sheet for the year ended December 31, 2021. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the statement of stockholders' equity, note that during the year the company issued additional common stock of $11,000. This amount is included in the amount for Common Stock in the adjusted trial balance. ORANGE DESIGNS Statement of Stockholders' Equity For the Year Ended December 31, 2021 Common Stock Rotained Earnings Total Stockholders Equity Balance at January 1 Balance at December 31 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the classified balance sheet for the year ended December 31, 2021. (Amounts to be deducted should be indicated by a minus sign.) ORANGE DESIGNS Balance Sheet December 31, 2021 Assets Llabilities Current Assels: Current Liabilities: $ 0 Total Current Assets Long-term Assets 0 Total Current Liabilities Long-term Liabilities 0 Total Liabilities Stockholders' Equity 0 Total Stockholders' Equity 0 Total Liabilities and Stockholders' Equity $ 0 $ Total Assets
