Problem 8-9A help create a balance sheet Problem 8-9A The adjusted trial balance
ID: 2401285 • Letter: P
Question
Problem 8-9A
help create a balance sheet
Problem 8-9A
The adjusted trial balance of Crane Company for the year ended December 31, 2019, is as follows: Debit Credit Cash $6,000 Accounts Receivable 3,100 Notes Receivable 6,500 Inventory 9,800 Equipment 7,100 Allowance for Doubtful Accounts $300 Accumulated Depreciation—Equipment 1,500 Notes Payable 1,300 Accounts Payable 700 Common Stock 17,300 Retained Earnings 11,400 Dividends 1,400 Sales Revenue 11,690 Interest Revenue 200 Cost of Goods Sold 7,900 Salary and Wages Expense 1,900 Rent Expense 600 Bad Debt Expense 60 Service Charge Expense 30 $44,390 $44,390Explanation / Answer
Balance Sheet Current Assets: Cash 6000 Accounts Receivables 3100 Less: Allowance for Doubtful debts -300 2800 Notes Receivable 6500 Inventory 9800 Total Current Assets 25100 Non Current Assets: Equipment 7100 Less: Accumulated Depreciation -1500 5600 Total Assets 30700 Liabilities Current Liabilities: Accounts Payable 700 Notes Payable 1300 Total current Liabilities 2000 Shareholders Equity: Common Stock 17300 Retained Earnings 11400 Total Shareholders Equity 28700 Total Current Assets and Shareholders equity 30700 Calculation of ending balance in retained earnings Particualrs $ Sales Revenue 11690 Interest Revenue 200 Cost of goods sold -7900 Salary and wages -1900 Rent expense -600 Bad Debt expense -60 Service Charge Expense -30 Net Profit 1400 Balance in Retained earnings 11400 Less: Dividends 1400 Ending Balance in retained earnings 11400