The unadjusted trial balance for Peanut Butter & Jam Inc. appears below as of December 31, 2017.

Peanut Butter & Jam Inc.

Unadjusted Trial Balance

December 31, 2017

DebitCredit

Cash$55,500

Accounts receivable6,000

Prepaid insurance15,000

Supplies3,000

Equipment40,000

Accumulated depreciation-equipment$4,000

Accounts payable21,000

Unearned service revenue10,500

Common shares48,250

Retained earnings12,000

Dividends5,000

Service revenue44,600

Salary expense 7,200

Utilities expense1,200

Rent expense5,250

Advertising expense2,200 _______

$140,350$140,350

Additional data is as follows:

Unearned service revenue earned during the year amounts to $8,500.

Depreciation for the current year amounts to $4,000.

Prepaid insurance consists of a policy purchased on January 1, 2017 for a 15 months coverage.

Supplies used during the current year amount to $1,500.

Accrued salaries on December 31, 2017, amount to $2,500.

Based on the unadjusted trial balance and the additional data, prepare a balance sheet for Peanut Butter & Jam Inc. dated December 31, 2017.

Peanut Butter & Jam Inc.
Balance Sheet
December 31st, 2017
Assets		Liabilities
		Shareholders Equity

Explain the following terms in your own words and give an example of each.

a.asset

b.liability

c.shareholders' equity

d.dividend

e.revenue

f.expense