Question
The general ledger of Red Storm Cleaners at January 1, 2018, includes the following account balances: Accounts Debits Credits Cash $ 15,500 Accounts Receivable 7,100
The general ledger of Red Storm Cleaners at January 1, 2018, includes the following account balances:
Accounts | Debits | Credits | ||||
Cash | $ | 15,500 | ||||
Accounts Receivable | 7,100 | |||||
Supplies | 3,100 | |||||
Equipment | 10,500 | |||||
Accumulated Depreciation | $ | 3,200 | ||||
Salaries Payable | 5,200 | |||||
Common Stock | 20,500 | |||||
Retained Earnings | 7,300 | |||||
Totals | $ | 36,200 | $ | 36,200 | ||
The following is a summary of the transactions for the year:
March 12 Provide services to customers, $51,000, of which $20,100 is on account.
May 2 Collect on accounts receivable, $17,100.
June 30 Issue shares of common stock in exchange for $6,000 cash.
August 1 Pay salaries, $25,100 (of which $5,200 is for salaries payable in 2017).
September 25 Pay repairs and maintenance expenses, $12,100.
October 19 Purchase equipment for $7,100 cash.
December 30 Pay $1,100 cash dividends to stockholders.
Accrued salaries at year-end amounted to $1,100. Depreciation for the year on the equipment is $4,100. Office supplies remaining on hand at the end of the year equal $1,200.
Question:
4. Prepare an unadjusted trial balance.
7. Prepare an adjusted trial balance.
8-a. Prepare the income statement for the year ended December 31, 2018.
8-b. Prepare the classified balance sheet for the year ended December 31, 2018.
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