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The adjusted trial balance for China Tea Company at December 31, 2018, is presented below: Debit Credit Cash 10,500 Accounts receivable 150,000 Prepaid rent 5,000
The adjusted trial balance for China Tea Company at December 31, 2018, is presented below:
Debit | Credit | |||||
Cash | 10,500 | |||||
Accounts receivable | 150,000 | |||||
Prepaid rent | 5,000 | |||||
Inventory | 25,000 | |||||
Equipment | 300,000 | |||||
Accumulated depreciation - equipment | 125,000 | |||||
Accounts payable | 30,000 | |||||
Notes payable - due in three months | 30,000 | |||||
Salaries payable | 4,000 | |||||
Interest payable | 1,000 | |||||
Common stock | 200,000 | |||||
Retained earnings | 50,000 | |||||
Sales revenue | 400,000 | |||||
Costs of goods sold | 180,000 | |||||
Salaries expense | 120,000 | |||||
Rent expense | 15,000 | |||||
Depreciation expense | 30,000 | |||||
Interest expense | 2,000 | |||||
Advertising expense | 2,500 | |||||
Totals | 840,000 | 840,000 | ||||
Required: Prepare a classified balance sheet for China Tea Company as of December 31, 2018. (Amounts to be deducted should be indicated by a minus sign.) CHINA TEA COMPANY Balance Sheet At December 31, 2018 0 S 0 0 0 S 0
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Step: 1
Here is the revised classified balance sheet for China Tea Company as of December 31 2018 using the provided adjusted trial balance China Tea Company Balance Sheet At December 31 2018 Assets Current A...Get Instant Access to Expert-Tailored Solutions
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Step: 2
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