Question

What does the 'adjusted' classified balance sheet look like after making the adjusting entires on accounts?

On January 1, 2021, Red Flash Photography had the following balances: Cash, $13,000; Supplies, $8,100; Land, $61,000; Deferred Revenue, $5,100; Common Stock $51,000; and Retained Earnings, $26,000. During 2021, the company had the following transactions: 1. February 15 Issue additional shares of common stock, $21,000. 2. May 20 Provide services to customers for cash, $36,000, and on account, $31,000. 3. August 31 Pay salaries to employees for work in 2021, $24,000. 4. October 1 Paid for one year's rent in advance, $13,000. 5. November 17 Purchase supplies on account, $23,000. 6. December 30 Pay dividends, $2,100. The following information is available on December 31, 2021: 1. Employees are owed an additional $4,100 in salaries. 2. Three months of the rental space has expired. 3. Supplies of $5,100 remain on hand. 4. All of the services associated with the beginning deferred revenue have been performed.

Answer 1

Asset Cash Accounts Receivable Supplies Prepaid Rent Red Flash Photography Balance Sheet December 31,2021. Liabilities $ 30,900 Accounts Payable $ 31,000 Salaries Payable $ 5,100 Total Current Liabilities $ 9,750 Stockholders Equity $ 76,750 Common Stock Retained Earning $ 61,000 Total Stockholders Equity $ 23,000 $ 4,100 $ 27,100 Total Current Assets $ 72,000 $ 38,650 $ 110,650 Land Total Assets $ 137,750 Total Liabilities and Stockholders Equity $137,750 Note : Please comment down for any further clarifications.