Question

Exercise 4-12 Preparing a classified balance sheet LO C3 Account Title Debit Credit Cash $ 6,900 Accounts receivable 24,500 office supplies 7,480 Trucks 156,000 Accumulated depreciation Trucks $ 32,136 Land 48,000 Accounts payable 10,900 Interest payable 3,000 Long-term notes 60,000 payable x. Wilson, Capital 149,052 x. Wilson, 36,000 Withdrawals Trucking fees carned 125,000 Depreciation expense -Trucks 20,728 Salaries expense 63,784 office supplies expense 5,000 Repairs expense- Trucks 11,696 Totals $380,088 $380,086 Use the above adjusted trial balance to prepare Wilson Trucking Company's classified balance sheet as of December 31. WILSON TRUCKING COMPANY Balance Sheet December 31 Assets Current assets Cash Accounts receivable Office supplies $ 69,000 24,500 7,480 48,000 156,000 $ 304,980 Trucks Total current assets 0 Liabilities Current liabilities Accounts payable Interest payable Long-term notes payable $10.900 3,000 60,000 Total current liabilities 73,900

Answer 1

Income Statement
Revenue
Trucking fees earned			1,25,000
Less: Operating expense
Depreciation expense-Truck	20,728
Salaries expense		63,784
Office supplies expense	5,000
Repairs expenses		11,696
Total Operating expense		1,01,208
Net income for the year		23,792
Statement of Owner's equity
Beginning balance of capital		1,49,052
Add: Net Income		23,792
Less: Withdrawals		-36,000
Net decrease in capital		-12208
Ending balance of capital		1,36,844
Balance sheet
Assets
Current assets:
Cash				6,900
Accounts receivable			24,500
Office Supplies			7,480
Total Current assets				38,880
Property Plant and equipment:
Land				48,000
Truck equipment		1,56,000
Less: Accumulated dep	32,136	1,23,864	171864
Total assets				2,10,744
Liabilities and equity
Current liabilities
Accounts payable			10,900
Interest payable			3,000
Total Current liabilities			13,900
Long-term liabilities:
Long-term notes payable			60,000
Total Liabilities				73,900
Owner's equity
K. Wilson Capital				1,36,844
Total Liabilities and Equity			2,10,744