Question:
The bookkeeper of Lone Star Landscaping prepared the company's balance sheet while the accountant was ill. The balance sheet contains numerous errors. In particular, the bookkeeper knew that the balance sheet should balance, so he plugged in the retained earnings amount needed to achieve this balance. The retained earnings is incorrect. All other amounts are correct, but some are out of place or should not be included in this statement. Prepare a corrected balance sheet.
Transcribed Image Text:
LONE STAR LANDSCAPING Balance Sheet Month Ended November 30, 2016 Assets Liabilities $4,900 Accounts Receivable as Office Supplies Land Salaries Expense Office Furniture Notes Payable Rent Expense $ 2,100 8,000 44,000 2,700 2,800 1,150 300 Dividends 33,800Service Revenue 3,100 Property Tax Expense 6,000 Accounts Payable 24,200 Retained Earnings 450 Stockholders' Equity 12,000 S 72,750 Common Stock Total Assets 72,750 Total Liabilities