Question

Question 8 View Policies Current Attempt in Progress These items are taken from the financial statements of Sheridan Company at December 31, 2022. $120.612 14,364 3,648 13,498 93,936 69,768 889 Buildings Accounts receivable Prepaid insurance Cash Equipment Land Insurance expense Depreciation expense Interest expense Common stock Retained earnings (January 1, 2022) Accumulated depreciation-buildings Accounts payable Notes payable Accumulated depreciation equipment Interest payable Service revenue 6,042 2.964 68,400 45,600 51,984 10,830 106,704 21,341 4,104 16,758 Prepare a classified balance sheet. Assume that $15,504 of the note payable will be paid in 2023. (List Current Assets in order of liquidity and Property, Plant and Equipment in order of Land, Buil

Answer 1

SHERIDAN COMPANY Income Statement December 31, 2022 16,758 Revenue Service revenue Expenses Insurance Expense Depreciation Expenses Interest Expense Total expenses Net Income 889 6,042 2,964 $ $ 9,895 6,863 SHERIDAN COMPANY Statement of Retained Earnings December 31, 2022 Retained Earnings (January 1, 2022) Add: Net Income Retained Earnings (December 31, 2022) $ $ $ 45,600 6,863 52,463

13,498 14,364 3,648 Balance Sheet December 31, 2022 Assets Current Assets Cash $ Accounts Receivable $ Prepaid Insurance $ Total Current Assets Property, Plant and Equipment Land $ Buildings $ 120,612 Less: Accumulated Depreciation - Buildings $ 51,984 $ Equipment $ 93,936 Less: Accumulated Depreciation - Equipment $ 21,341 $ Total Assets $ 31,510 69,768 68,628 72,595 $ 210,991 $ 242,501 10,830 91,200 4,104 ($ 106,704 - $ 15,504) $ 106,134 Liabilities and Stockholders' Equity Current liabilities Accounts Payable $ Notes Payable $ Interest Payable $ Total Current Laibilities Non-Current liabilities Notes Payable (Payable in 2023) Total Liabilities Shareholders' Equity Common stock $ Retained Earnings $ Total Stockholders' Equity Total Liabilities and Stockholders' Equity $ 15,504 $ 121,638 68,400 52,463 $ 120,863 $ 242,501