Using the trial balance provided above, prepare an income statement and a statement of changes in equity for the first three months ended July 31, 2014, and a balance sheet at July 31, 2014.

Analysis Component: Analyze the balance sheet and calculate what percentage of the assets is financed by (a) debt and (b) equity.

Transcribed Image Text:

Lincoln Landscaping Trial Balance July 31, 2014 Acct. No. Account Title Credit 101 Cash... 106 Accounts receivable 128 Prepaid insurance. Debit S 23,720 18,600 13,750 64,600 37,500 2,800 58,000 65,000 201 Accounts payabl.. 251 Long-term notes payable. .. 301 Brielle Lincoln, capital.. 302 Brielle Lincoln, withdrawals 401 Fees earned 623 Wages expense 645 Rental expense. 655 Advertising expense.. 684 Repairs expense... 8,950 29,100 59,000 1,100 1,750 930 $192,400 192,400