The following account balances are taken from the books of Country Club on 31 De
ID: 2542931 • Letter: T
Question
The following account balances are taken from the books of Country Club on 31 December 2017. Revenues and expenses are for the year ended 31 December 2017. The retained profits balance is as at 1 January 2017. Account Value ($) Accounts Receivable 29826 Accounts Payable 25242 Promotional Expense 54245 Cash 5420.0 Food Sales 15215 Cost of food sold 13080 Dividend payments 8138 Electricity Expense 6385 Furniture and fittings 42,500 Inventory 22,500 Land and buildings 75,000 Bank loan payable 43,750 Equipment 51,250 Rent expense 41372 Retained profits (1 January 2016) 74698 Share capital 75,000 Membership revenue 103430 Calculate the retained earnings for the year ended 31 December 2017. The following account balances are taken from the books of Country Club on 31 December 2017. Revenues and expenses are for the year ended 31 December 2017. The retained profits balance is as at 1 January 2017. Account Value ($) Accounts Receivable 29826 Accounts Payable 25242 Promotional Expense 54245 Cash 5420.0 Food Sales 15215 Cost of food sold 13080 Dividend payments 8138 Electricity Expense 6385 Furniture and fittings 42,500 Inventory 22,500 Land and buildings 75,000 Bank loan payable 43,750 Equipment 51,250 Rent expense 41372 Retained profits (1 January 2016) 74698 Share capital 75,000 Membership revenue 103430 Calculate the retained earnings for the year ended 31 December 2017. The following account balances are taken from the books of Country Club on 31 December 2017. Revenues and expenses are for the year ended 31 December 2017. The retained profits balance is as at 1 January 2017. Account Value ($) Accounts Receivable 29826 Accounts Payable 25242 Promotional Expense 54245 Cash 5420.0 Food Sales 15215 Cost of food sold 13080 Dividend payments 8138 Electricity Expense 6385 Furniture and fittings 42,500 Inventory 22,500 Land and buildings 75,000 Bank loan payable 43,750 Equipment 51,250 Rent expense 41372 Retained profits (1 January 2016) 74698 Share capital 75,000 Membership revenue 103430 Calculate the retained earnings for the year ended 31 December 2017.Explanation / Answer
Balance Sheet As on Dec 31, 2017 Assets Current Assets Cash 5,420.00 Accounts Receivable 29,826.00 Inventory 22,500.00 57,746.00 Property, Plant & Equipment Furniture & Fittings 42,500.00 Land & Buildings 75,000.00 Equipment 51,250.00 168,750.00 Total Assets 226,496.00 Liabilities & Stockholders' Equity Laibilities Current Liabilities Accounts Payable 25,242.00 Long Term Liabilities Bank Loan Payable 43,750.00 Total Liabilities 68,992.00 Stockholders' Equity Common Stock 75,000.00 Retained Earnings (Bal. Fig.) 82,504.00 Total Stockholders' Equity 157,504.00 Total Liabilities & Stockholders' Equity 226,496.00 Income Statement For the Year Ended Dec 31, 2017 Revenue Sales 15,215.00 Membership Revenue 103,430.00 118,645.00 Expenses: Cost of FoodsSold 13,080.00 Promotional Expense 54,245.00 Electricity Expense 6,385.00 Rent Expense 41,372.00 115,082.00 Net Income 3,563.00 Statement of Retained Earnings For the Year Ended Dec 31, 2017 Beginning Balance, Jan 1, 2017 - Bal Fig. 87,079.00 Net Income 3,563.00 Dividends Paid (8,138.00) Ending Balance Dec 31, 2017 82,504.00