Question

U 3. Prepare an adjusted trial balance. (Do not round Intermediate calculations. Round your final answers to nearest wh 2 of 5 Answer is complete and correct. Credits OOOOOOOOO PASTINA COMPANY Adjusted Trial Balance December 31, 2021 Account Title Debits Cash 36.400 Accounts receivable 43.800 Supplies 1,010 Inventory 63.600 Notes receivable 23.600 Interest receivable 1.573 Prepaid rent 1.400 Prepaid insurance 2.400 Office equipment 94.400 Accumulated depreciation Accounts payable Salaries payable Notes payable Interest payable Deferred sales revenue Common stock Retained earnings Dividends 7,600 Sales revenue Interest revenue Cost of goods sold 88,000 Salaries expense 22.400 Rent expense 14.200 Depreciation expense 11,800 Interest expense 1.608 Supplies expense 5.190 Insurance expense 7.200 Advertising expense 4.800 Totals $ 430.781 47,200 34.600 1,700 53.600 1,808 3.800 85,200 37.500 OOOOOOOO 164.000 1.573 OOOO $ 430.781

Answer 1

Income Statement
Sales Revenue			$ 164,000.00
Cost of goods sold			$   88,000.00
Gross Profit				$ 76,000.00
Operating Expenses
Salaries Expense			$   22,400.00
Rent Expense			$   14,200.00
Depreciation Expense			$   11,800.00
Supplies Expense			$     5,190.00
Insurance Expense			$     7,200.00
Advertising Expense			$     4,800.00
Total Operating Expense				$ 65,590.00
Operating Income				$ 10,410.00
Other income (expense)
Interest Revenue			$     1,573.00
Interest Expense			$     1,608.00	$       (35.00)
Net Income				$ 10,375.00

	Statement of Shareholder's Equity
			Common	Retained	Total
			Stock	Earnings	Equity
	Balance, Jan 1, 2021		$ 85,200.00	$ 37,500.00	$ 122,700.00
Add:	Net Income			$ 10,375.00	$   10,375.00
Less:	Dividends			$   7,600.00	$     7,600.00
	Balance, Dec 31, 2021		$ 85,200.00	$ 40,275.00	$ 125,475.00

Balance Sheet
Assets
Current Assets
Cash			$ 36,400.00
Accounts Receivable			$ 43,600.00
Supplies			$   1,010.00
Inventory			$ 63,600.00
Notes Receivable			$ 23,600.00
Interest Receivable			$   1,573.00
Prepaid Rent			$   1,400.00
Prepaid Insurance			$   2,400.00
Total Current Assets				$ 173,583.00
Office Equipment			$ 94,400.00
Accumulated Depreciation			$ 47,200.00	$   47,200.00
Total Assets				$ 220,783.00
Current Liabilities
Accounts Payable			$ 34,600.00
Salaries Payable			$   1,700.00
Notes Payable			$ 53,600.00
Interest Payable			$   1,608.00
Deferred Sales Revenue			$   3,800.00
Total Current Liabilities				$   95,308.00
Shareholder's Equity
Common Stock			$ 85,200.00
Retained Earnings			$ 40,275.00
Total Shareholder's equity				$ 125,475.00
Total Liabilities and Equity				$ 220,783.00