The adjusted trial balance columns of the worksheet for Rachel Company Inc. are as follows.

Instructions
(a) Complete the worksheet by extending the balances to the financial statement columns.
(b) Prepare an income statement, a retained earnings statement, and a classified balance sheet. (Note: $9,000 of the notes payable become due in 2012.)
(c) Prepare the closing entries. Use J14 for the journal page.
(d) Post the closing entries. Use the three-column form of account. Income Summary is No. 350.
(e) Prepare a post-closing trialbalance.

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RACHEL COMPANY INC. For the Year Ended December 31, 2011 Adjusted Trial Balance Account No. 101 112 126 130 151 152 200 201 212 230 311 320 332 400 610 631 Account Titles Dr. 8,100 10,800 1.500 2.000 24,000 Accounts Receivable Supplies Prepaid Insurance Office Equipment Accumulated Depreciation-Office Equipment Notes Payable Accounts Payable Salaries Payable Interest Payable Common Stock Retained Earnings Dividends Service Revenue Advertising Expense Supplies Expense Depreciation Expense Insurance Expense Salaries Expense Interest Expense 5,600 15.000 6,100 2.400 600 10,000 5.800 7,000 61,000 8,400 5,600 3,500 31.000 600 726 Totals 106,500 106,500