Account Title Debit Credit Cash $ 6,800 Accounts receivable 26,000 Office suppli
ID: 2342186 • Letter: A
Question
Account Title
Debit
Credit
Cash
$
6,800
Accounts receivable
26,000
Office supplies
7,205
Trucks
151,000
Accumulated depreciation—Trucks
$
31,106
Land
47,000
Accounts payable
10,800
Interest payable
12,000
Long-term notes payable
38,000
Common stock
17,000
Retained earnings
149,867
Dividends
45,000
Trucking fees earned
128,000
Depreciation expense—Trucks
20,063
Salaries expense
61,439
Office supplies expense
11,000
Repairs expense—Trucks
11,266
Totals
$
386,773
$
386,773
Use the above adjusted trial balance to prepare Wilson Trucking Company’s classified balance sheet as of December 31, 2017.
WILSON TRUCKING COMPANY
Balance Sheet
December 31, 2017
Assets
0
Liabilities
Equity
$0
$0
Account Title
Debit
Credit
Cash
$
6,800
Accounts receivable
26,000
Office supplies
7,205
Trucks
151,000
Accumulated depreciation—Trucks
$
31,106
Land
47,000
Accounts payable
10,800
Interest payable
12,000
Long-term notes payable
38,000
Common stock
17,000
Retained earnings
149,867
Dividends
45,000
Trucking fees earned
128,000
Depreciation expense—Trucks
20,063
Salaries expense
61,439
Office supplies expense
11,000
Repairs expense—Trucks
11,266
Totals
$
386,773
$
386,773
Explanation / Answer
Answer:-
Use the above adjusted trial balance to prepare Wilson Trucking Company’s classified balance sheet as of December 31, 2017:-
= 6,800 + 26,000 + 7,205
= $40,005
= 151,000 + 47,000 - 31,106
= $166,894
= 166,894 + 40,005
= $206,899
= 10,800 + 12,000
= $22,800
= 22,800 + 38,000
= $60,800
= 129,099 + 17,000
= $146,099
= 146,099 + 60,800
= $206,899
Working notes:-
= 20,063 + 61,439 + 11,000 + 11,266
= $103,768
$128,000 - 103,768
= $24,232
= 149,867 - (24,232 + 45,000)
= 149,867 - 20,768
= $129,099
Current assets:- Cash and cash equivalents $6,800 Accounts receivable $26,000 Office supplies $7,205 Total current assets= 6,800 + 26,000 + 7,205
= $40,005
Fixed assets Trucks $151,000 Accumulated depreciation—Trucks $31,106 Land $47,000 Total fixed assets= 151,000 + 47,000 - 31,106
= $166,894
Total Assets= 166,894 + 40,005
= $206,899
Liabilities: Current liabilities Accounts payable $10,800 Interest payable $12,000 Total current liabilities= 10,800 + 12,000
= $22,800
Long term liabilities Long term note payable $38,000 Total long - term liabilities $38,000 Total liabilities= 22,800 + 38,000
= $60,800
Equity : Owner's equity capital $17,000 Retained earnings $129,099 Total owner's equity= 129,099 + 17,000
= $146,099
Total equity = Total liability+ owner's equity= 146,099 + 60,800
= $206,899
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