Natalie had a very busy December. At the end of the month, after journalizing an
ID: 2462598 • Letter: N
Question
Natalie had a very busy December. At the end of the month, after journalizing and posting the December transactions and adjusting entries, Natalie prepared the following adjusted trial balance.
COOKIE CREATIONS
Adjusted Trial Balance
December 31, 2016
Debit
Credit
Cash
Accounts Receivable
Supplies
Prepaid Insurance
Equipment
Accumulated Depreciation—Equipment
Accounts Payable
Salaries and Wages Payable
Unearned Service Revenue
Notes Payable
Interest Payable
Common Stock
Dividends
Service Revenue
Salaries and Wages Expense
Utilities Expense
Advertising Expense
Supplies Expense
Depreciation Expense
Insurance Expense
Interest Expense
$7,801
$7,801
Using the information in the adjusted trial balance, do the following.
Prepare a classified balance sheet at December 31, 2016. The note payable has a stated interest rate of 6%, and the principal and interest are due on November 16, 2018. (List Current assets in order of liquidity.)
COOKIE CREATIONS
Adjusted Trial Balance
December 31, 2016
Debit
Credit
Cash
$1,180Accounts Receivable
875Supplies
350Prepaid Insurance
1,210Equipment
1,200Accumulated Depreciation—Equipment
$40Accounts Payable
75Salaries and Wages Payable
56Unearned Service Revenue
300Notes Payable
2,000Interest Payable
15Common Stock
800Dividends
500Service Revenue
4,515Salaries and Wages Expense
1,006Utilities Expense
125Advertising Expense
165Supplies Expense
1,025Depreciation Expense
40Insurance Expense
110Interest Expense
15$7,801
$7,801
Explanation / Answer
Balance Sheet
Net Amount (in $)
Liabilities and Share Holders Equity
Assets AdjustmentsNet Amount (in $)
Cash 1180 Account Recievables 875 Supplies 350 Prepaid Inurance 1210 Equipment 1200 Depreciation -40 1160 Total Assets 4775Related Questions
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