Using the above information list the long term liabilities, depreciation expense, and answer the following question: Does the ending balance of the Retained Earnings t-account agree with the balance of Retained Earnings on the Balance Sheet?
Cash Land Notes Payable
Supplies Accounts Payable
Prepaid Insurance Deferred Revenue Dividends Rent Expense
Equipment Salaries Payable Service Revenue Insurance Expense
1-Dec Issue common stock in exchange for cash of $7,500.
1-Dec Paid the premium in advance on a one-year insurance policy, $1,080.
1-Dec Purchased Equipment for $4,200 cash.
5-Dec Purchased office supplies from XYZ Company on account, $450.
15-Dec Provided services to customers for $8,000 cash.
16-Dec Provided services to customer ABC Inc. on account, $6,400.
17-Dec Received $2,100 cash in advance from a customer for services to be provided in January.
22-Dec Paid $230 to XYZ company for the Dec 5 purchase on account.
23-Dec Received $2,800 cash from customer, ABC Inc., on account.
25-Dec Paid the rent for the current month, $1,150.
28-Dec Paid salaries to employees for work performed from December 1 through December 28, $4,480.
29-Dec Declared and paid dividends to stockholders $300.
30-Dec Purchased land by signing 3 year note payable for $9,000.
Record the December
31-Dec One month’s insurance has expired $90.
31-Dec The remaining inventory of unused office supplies is $90.
31-Dec The estimated depreciation on equipment is $70.
31-Dec Salaries incurred from December 29 to December 31 but not yet paid or recorded total $480.
Check point 1: Adjusted
$ 33,770
Check Point 2: Total Assets $ 26,770
Using the above information list the long term liabilities, depreciation expense, and answer the following question: Does the ending balance of the Retained Earnings t-account agree with the balance of Retained Earnings on the Balance Sheet?
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