Requirement 1 Use the data in the partial worksheet to prepare Draper Production Company's classified balance sheet at December 31 of the current year Use the report format First you must calculate the adjusted balance for several of the balance sheet accounts Accounts Debit Credit Adjustments Trial Balance Debit Trial Balance Credit Cash 15,900 Prepaid Rent 1100 Equipment 47,000 Acc Depreciation Equipment 3,700 Accts Payable 5,000 Salary Payable Unearned Service Revenue 8,700 Income tax payable Notes payable long term 13,000 Common stock 8,300 Retained earnings 19,700 Dividends 1,800 19,100 Service Revenue 13,100 5,300 Salary Expense 4,400 1800 Rent Expense 1,300 Depreciation Expense Equipment 900 Income Tax expense 1500 Total $71,500 71,500 9,500 19,100 Journal Entry Date Account Debit Credit Dec 31 Unearned Service Revenue 6,000 Service Revenue 6,000 Dec 31 Salary Expense 900 Salary Payable 900 Dec 31 Rent Expense 500 Prepaid Rent 500 Dec 31 Depreciation expense 900 Accumulated Depreciation Equipment 900 Dec 31 Income Tax expense 1,500 Income tax payable 1,500 REQUIREMENT 2 Calculate Draper Production Company's net working capital, current ratio, and debt ratio at December 31 A year ago, net working capital was $ 6700, the current ratio was 1 69, and the debt ratio was 0 29 Indicate whether the company's ability to pay its debts both current and total improved or deteriorated during the current year Current Liabilities Accounts Payable Salary payable Unearned service revenue Income tax payable Total current liabilities Notes payable, long term Total liabilities Shareholders' Equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity at December 31 A year ago, net working capital was $ 6 comma 700, the current ratio was 1 69, and the debt ratio was 0 29 Indicate whether the company's ability to pay its debts both current and tota improved or deteriorated during the current year Calculate Durkin Production Company's net working capital current ratio debt ratio

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Requirement 1 : Use the data in the partial worksheet to prepare Draper Production Company's classified balance sheet at December 31 of the current year.

Requirement 1: Use the data in the partial worksheet to prepare Draper Production Company's classified balance sheet at December 31 of the current year. Use the report format. First you must calculate the adjusted balance for several of the balance-sheet accounts.

Accounts	Debit	Credit	Adjustments	Trial Balance Debit	Trial Balance Credit
Cash	15,900
Prepaid Rent	1100
Equipment	47,000
Acc Depreciation-Equipment		3,700
Accts Payable		5,000
Salary Payable
Unearned Service Revenue		8,700
Income tax payable
Notes payable-long term		13,000
Common stock		8,300
Retained earnings		19,700
Dividends	1,800				19,100
Service Revenue		13,100		5,300
Salary Expense	4,400			1800
Rent Expense	1,300
Depreciation Expense Equipment				900
Income Tax expense				1500
Total	$71,500	71,500		9,500	19,100

Journal Entry:

Date:	Account	Debit	Credit
Dec 31	Unearned Service Revenue	6,000
	Service Revenue		6,000
Dec 31	Salary Expense	900
	Salary Payable		900
Dec 31	Rent Expense	500
	Prepaid Rent		500
Dec 31	Depreciation expense	900
	Accumulated Depreciation Equipment		900
Dec 31	Income Tax expense	1,500
	Income tax payable		1,500

REQUIREMENT 2.Calculate Draper Production Company's net working capital, current ratio, and debt ratio at December 31. A year ago, net working capital was $ 6700, the current ratio was 1.69, and the debt ratio was 0.29. Indicate whether the company's ability to pay its debts both current and total improved or deteriorated during the current year.

Current Liabilities:

Accounts Payable
Salary payable
Unearned service revenue
Income tax payable
Total current liabilities
Notes payable, long-term
Total liabilities

Shareholders' Equity

Common stock
Retained earnings
Total stockholders' equity
Total liabilities and stockholders' equity

at December 31. A year ago, net working capital was $ 6 comma 700, the current ratio was 1.69, and the debt ratio was 0.29. Indicate whether the company's ability to pay its debts both current and tota improved or deteriorated during the current year. Calculate Durkin Production Company's: