Question

The below is the Balance Sheet for ABC Clinic as of December 31, 2015. Please use the information on this balance sheet wherever its necessary in the following questions.

ABC Clinic

Balance Sheet

As of December 31, 2015

ASSETS			LIABILITIES & NET ASSETS
Current Assets			Current liabilities
Cash	$         155,000		Accounts Payable	$          80,000
Prepaid Insurance	$           6,500		Wages Payable	$          15,000
Accounts Receivables	$      110,000
Inventory	$         25,000		Long-term liabilities
			Mortgage liabilities	$       106,500
Fixed Assets
Plant and Equipment, net	$      150,000		Net Assets
			Unrestricted	$       200,000
			Permanently Restricted	$          45,000
TOTAL ASSETS	$      446,500		TOTAL LIABILITIES & NET ASSETS	$       446,500

Q1- Please fill out the Beginning Balances and Calculate the Ending Balances for each ledger accounts by utilizing the information provided to you.

ABC Clinic

LEDGER ACCOUNT, 2016 (x1000)

		Assets					+	Expenses
		Cash	Prepaid Insurance	Accounts Receivable	Inventory	Plant & Equipment		Inventory	Labor	Interest	Insurance	Depreciation
Beginning Balance
	1	-25	25
N	2	-15
O	3
I	4					-35						35
T	5	42		-42
C	6		-12								12
A	7	-50							15
S	8			150	-60			60
N	9	-75								55
A	10								40
R	11				50
T	12
	13
Ending Balance

The below is the other part of the Ledger Account. I had to split this since Canvas did not display the whole ledger.

ABC Clinic

LEDGER ACCOUNT, 2016 (x1000)

Liabilities			+	Net Assets			+	Revenue
Accounts Payable	Wages Payable	Mortgage Payable		Unrestricted	Temporarily Restricted	Permanently Restricted		Revenue
-15
	-35
								150
		-20
	40
50

Q 2- Please complete the Operating/Income Statement for the Year Ending December 31, 2016 by utilizing the previously provided information.

ABC Clinic

Operating Statement

For the Year Ending December 31, 2016

Revenues
Less Expenses
Inventory
Labor
Interest
Insurance
Depreciation
NET INCOME

Q 3- Please complete the below Balance Sheet for the Year Ending December 31, 2016 by utilizing the previously provided information.

ABC Clinic

Balance Sheet

As of December 31, 2016

ASSETS			LIABILITIES & NET ASSETS
Current Assets			Current liabilities
Cash			Accounts Payable
Prepaid Insurance			Wages Payable
Accounts Receivables
Inventory			Long-term liabilities
			Mortgage liabilities
Fixed Assets
Plant and Equipment,			Net Assets
			Unrestricted
			Permanently Restricted
TOTAL ASSETS			TOTAL LIABILITIES & NET ASSETS

Answer 1

ABC Clinic
LEDGER ACCOUNT, 2016 (x1000)
		Assets					+	Expenses
		Cash	Prepaid Insurance	Accounts Receivable	Inventory	Plant & Equipment		Inventory	Labor	Interest	Insurance	Depreciation
Beginning Balance		155	6.5	110	25	150
	1	-25	25
N	2	-15
O	3
I	4					-35						35
T	5	42		-42
C	6		-12								12
A	7	-50							15
S	8			150	-60			60
N	9	-75								55
A	10								40
R	11				50
T	12
net loss closing entries	13
Ending Balance		32	19.5	218	15	115	0	60	55	55	12	35

ABC Clinic
LEDGER ACCOUNT, 2016 (x1000)
Liabilities			+	Net Assets			+	Revenue
Accounts Payable	Wages Payable	Mortgage Payable		Unrestricted	Temporarily Restricted	Permanently Restricted		Revenue
80	15	106.5		200		45
-15
	-35
								150
		-20
	40
50
				-67
115	20	86.5	0	133	0	45	0	150

ABC Clinic
Operating Statement
For the Year Ending December 31, 2016
Revenues		150,000
Less Expenses
Inventory	60,000
Labor	55,000
Interest	55,000
Insurance	12,000
Depreciation	35,000	217,000
NET INCOME (loss)		(67,000)
net profit close to Unrestricted net assets

ABC Clinic
Balance Sheet
As of December 31, 2016
ASSETS			LIABILITIES & NET ASSETS
Current Assets			Current liabilities
Cash	32,000		Accounts Payable	115,000
Prepaid Insurance	19,500		Wages Payable	20,000
Accounts Receivables	218,000
Inventory	15,000		Long-term liabilities
			Mortgage liabilities	86,500
Fixed Assets
Plant and Equipment,	115,000		Net Assets
			Unrestricted	133,000
			Permanently Restricted	45,000
TOTAL ASSETS	399,500		TOTAL LIABILITIES & NET ASSETS	399,500