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Required Use the following information to prepare a multistep income statement and a classified balance sheet for Eller Equipment Co. for Year 1. ( Hint:
Required Use the following information to prepare a multistep income statement and a classified balance sheet for Eller Equipment Co. for Year 1. (Hint: Some of the items will not appear on either statement, and ending retained earnings must be calculated.)
Salaries expense | $ | 122,000 | Beginning retained earnings | $ | 61,100 | ||
Common stock | 110,000 | Warranties payable (short term) | 6,500 | ||||
Notes receivable (short term) | 32,500 | Gain on sale of equipment | 19,000 | ||||
Allowance for doubtful accounts | 19,000 | Operating expenses | 65,000 | ||||
Accumulated depreciation | 66,000 | Cash flow from investing activities | 116,000 | ||||
Notes payable (long term) | 160,000 | Prepaid rent | 38,000 | ||||
Salvage value of building | 21,000 | Land | 95,000 | ||||
Interest payable (short term) | 6,000 | Cash | 41,000 | ||||
Uncollectible accounts expense | 45,000 | Inventory | 101,000 | ||||
Supplies | 6,500 | Accounts payable | 55,000 | ||||
Equipment | 243,000 | Interest expense | 36,000 | ||||
Interest revenue | 6,200 | Salaries payable | 68,000 | ||||
Sales revenue | 940,000 | Unearned revenue | 47,000 | ||||
Dividends | 20,000 | Cost of goods sold | 595,000 | ||||
Warranty expense | 9,200 | Accounts receivable | 108,000 | ||||
Interest receivable (short term) | 3,600 | Depreciation expense | 3,000 | ||||
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