Prepare a statement of financial position in good form at the end of the current year.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
icon
Concept explainers
Topic Video
Question
Romney's Marketing Company has the following adjusted trial balance at the end of the current year. The company issued 420 shares
at the end of the year for $4,200 cash (for a total of 840 shares at the end of the year). The effect of this transaction is included below.
Cash
Accounts receivable
Interest receivable
Prepaid insurance
Notes receivable (long-term)
Equipment
Accumulated depreciation
Accounts payable
Accrued expenses payable
Income taxes payable
Deferred rent revenue
Contributed capital (840 shares)
Retained earnings
Dividends declared
Sales revenue
Interest revenue
Rent revenue
Wages expense
Depreciation expense
Utilities expense
Insurance expense
Rent expense
Income tax expense
Total
Debit
$ 2,700
Credit
3,400
220
2,800
4,000
17,090
$ 4,200
3,600
4,520
3,300
1,100
4,900
3,440
720
43,300
220
1,400
20,700
2,400
500
1,350
10,200
3,900
$69,260
$69,260
Prepare a statement of financial position in good form at the end of the current year.
Transcribed Image Text:Romney's Marketing Company has the following adjusted trial balance at the end of the current year. The company issued 420 shares at the end of the year for $4,200 cash (for a total of 840 shares at the end of the year). The effect of this transaction is included below. Cash Accounts receivable Interest receivable Prepaid insurance Notes receivable (long-term) Equipment Accumulated depreciation Accounts payable Accrued expenses payable Income taxes payable Deferred rent revenue Contributed capital (840 shares) Retained earnings Dividends declared Sales revenue Interest revenue Rent revenue Wages expense Depreciation expense Utilities expense Insurance expense Rent expense Income tax expense Total Debit $ 2,700 Credit 3,400 220 2,800 4,000 17,090 $ 4,200 3,600 4,520 3,300 1,100 4,900 3,440 720 43,300 220 1,400 20,700 2,400 500 1,350 10,200 3,900 $69,260 $69,260 Prepare a statement of financial position in good form at the end of the current year.
Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Financial Statements
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education