Question

! Required information Use the following information for the Exercises below. (The following information applies to the questions displayed below. Carmen Camry operates a consulting firm called Help Today, which began operations on August 1. On August 31, the company's records show the following accounts and amounts for the month of August. Cash Accounts receivable Office supplies Land Office equipment Accounts payable Dividends $ 25,310 Consulting fees earned 22,320 Rent expense 5,200 Salaries expense 43,970 Telephone expense 19,960 Miscellaneous expenses 10,700 Common stock 5,950 $ 26,960 9,500 5,560 820 470 101,400 Exercise 2-18 Preparing a balance sheet LO P3 Use the above information to prepare an August 31 balance sheet for Help Today. (Hint The ending retained earnings account balance as of August 31 is $4,660.) HELP TODAY Balance Sheet As of August 31 Liabilities: Assets: Cash Accounts receivable Office supplies Land Office equipment $ $ Total Assets 0

Answer 1

HELP TODAY
Balance Sheet
As of August 31st
Assets:		Liabilities
Cash	$ 25,310	Accounts Payable	$ 10,700
Accounts Receivable	$ 22,320
Office Supplies	$ 5200	Equity
Land	$ 43,970	Common Stock	$ 101,400
Office Equipment	$ 19,960	Retained Earnings	$ 4660
		Total Equity	$ 106,060
Total Assets	$116,760	Total Liabilities and Equity	$ 116,760

Retained earnings = revenue - expenses - dividends = 26960 - 9500 - 5560 - 820 - 470 - 5950 = 4660