Problem 4-2A The adjusted trial balance columns of the worksheet for Thao Company, owned by D. Thao, are as follows. THAO COMPANY Worksheet For the Year Ended December 31, 2017 Adjusted Trial Balance Account No. Account Titles Dr. Cr. 101 Cash 5,500 112 Accounts Receivable 11,000 126 Supplies 1,400 130 Prepaid Insurance 1,900 157 Equipment 26,700 158 Accumulated DepreciationEquipment 5,500 200 Notes Payable 12,300 201 Accounts Payable 5,800 212 Salaries and Wages Payable 2,200 230 Interest Payable 500 301 Owners Capital 13,500 306 Owners Drawings 6,800 400 Service Revenue 62,900 610 Advertising Expense 8,000 631 Supplies Expense 4,300 711 Depreciation Expense 5,500 722 Insurance Expense 3,500 726 Salaries and Wages Expense 27,600 905 Interest Expense 500 Totals 102,700 102,700 Your answer is correct. Complete the worksheet by extending the balances to the financial statement columns. THAO COMPANY Partial Worksheet Adjusted Trial Balance Income Statement Balance Sheet Account No. Account Titles Dr. Cr. Dr. Cr. Dr. Cr. 101 Cash 5,500 112 Accounts Receivable 11,000 126 Supplies 1,400 130 Prepaid Insurance 1,900 157 Equipment 26,700 158 Accumulated Depreciation - Equipment 5,500 200 Notes Payable 12,300 201 Accounts Payable 5,800 212 Salaries and Wages Payable 2,200 230 Interest Payable 500 301 Owner's Capital 13,500 306 Owner's Drawings 6,800 400 Service Revenue 62,900 610 Advertising Expense 8,000 631 Supplies Expense 4,300 711 Depreciation Expense 5,500 722 Insurance Expense 3,500 726 Salaries and Wages Expense 27,600 905 Interest Expense 500 Totals 102,700 102,700 Net Income Totals Link to Text Your answer is correct. Prepare an income statement. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) THAO COMPANY Income Statement $ $ $ Link to Text Your answer is partially correct. Try again. Prepare an owners equity statement. D. Thao did not make any additional investments in the business during 2018. (List items that increase owner's equity first.) THAO COMPANY Owners Equity Statement $ : : $ Link to Text Your answer is partially correct. Try again. Prepare a classified balance sheet. $3,075 of the notes payable become due in 2018. (List Current Assets in order of liquidity.) THAO COMPANY Balance Sheet Assets $ $ : $ Liabilities and Owners Equity $ $ $ Link to Text Your answer is partially correct. Try again. Prepare the closing entries. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Dec. 31 (To close revenue account) Dec. 31 (To close expense accounts) Dec. 31 (To close net income / (loss)) Dec. 31 (To close drawings) Link to Text Your answer is incorrect. Try again. Post the closing entries. (Post entries in the order of journal entries presented in the previous part.) Owners Capital No. 301 Date Explanation Ref. Debit Credit Balance Jan. 31 Balance ? Dec. 31 Closing entry J14 Dec. 31 Closing entry J14 Owners Drawings No. 306 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Income Summary No. 350 Date Explanation Ref. Debit Credit Balance Dec. 31 Closing entry J14 Dec. 31 Closing entry J14 Dec. 31 Closing entry J14 Service Revenue No. 400 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Advertising Expense No. 610 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Supplies Expense No. 631 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Depreciation Expense No. 711 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Insurance Expense No. 722 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Salaries and Wages Expense No. 726 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Interest Expense No. 905 Date Explanation Ref. Debit Credit Balance Dec. 31 Balance ? Dec. 31 Closing entry J14 Link to Text Your answer is incorrect. Try again. Prepare a post-closing trial balance. THAO COMPANY Post-Closing Trial Balance Debit Credit $ $ Totals $ $ Link to Text Question Attempts: Unlimited Save for later Submit Answer