The completed financial statement columns of the work sheet for Melinda Company are shown below.

\section*{Instructions}

(a) Prepare an income statement, retained earnings statement, and a classified balance sheet.

(b) Prepare the closing entries.

(c) Post the closing entries and rule and balance the accounts. Use T-accounts. Income Summary is No. 350 .

(d) Prepare a post-closing trial balance.

Transcribed Image Text:

MELINDA COMPANY Work Sheet For the Year Ended December 31, 1996 Income Statement Balance Sheet Account No. Account Titles Dr. Cr. Dr. Cr. 101 Cash 13,600 112 Accounts Receivable 13,500 130 157 167 201 212 Prepaid Insurance Equipment Accumulated Depreciation Accounts Payable Salaries Payable 3,500 26,000 5,600 13,300 3,000 311 Common Stock 20,000 320 Retained Earnings 16,000 332 Dividends 12,000 400 Fees Earned 54,000 622 Repair Expense 1,800