Question

Balance Sheet Dynamic Weight Loss Co. offers personal weight reduction consulting services to individuals. After all the accounts have been closed on June 30, 2017, the end of the fiscal year, the balances of selected accounts from the ledger of Dynamic Weight Loss are as follows: Accounts Payable $9,060 Accounts Receivable 21,830 Accumulated Depreciation - Equipment 27,270 Common Stock 180,000 Cash ? Equipment 78,820 Land 105,000 Prepaid Insurance 5,070 Prepaid Rent 3,170 Retained Earnings 1,740 Salaries Payable 3,530 Supplies 540 Unearned Fees 2,630 Prepare a classified balance sheet that includes the correct balance for Cash.

Answer 1

Answer
Balance sheet
Dec-31
Assets
Current assets
Cash (196960+ 156550-21830-540-5070-3170)		$    9,800
Account receivable		$ 21,830
Supplies		$       540
Prepaid Insurance		$    5,070
Prepaid rent		$    3,170
Total Current assets			$ 40,410
Property, plant and equipment
Land		$105,000
Equipment	$78,820
Less: Accumulated depreciation	-$27,270
Net Book value of equipment		$ 51,550
Total property, plant and equipment			$156,550
Total assets			$196,960
Liabilities
Current liabilities
Account payable		$    9,060
Salaries payable		$    3,530
Unearned fees		$    2,630
Total liabilities			$ 15,220
Stockholder's equity
Common Stock		$180,000
Retained earnings		$    1,740
Total Stockholder's equity			$181,740
Total liabilities and stockholder's equity			$196,960