Question

Following is the adjusted trial balance of Wilson Trucking Company
  

  

Account Title	Debit		Credit
Cash	$	5,400
Accounts receivable		29,000
Office supplies		6,573
Trucks		161,000
Accumulated depreciation—Trucks			$	33,166
Land		42,000
Accounts payable				9,400
Interest payable				20,000
Long-term notes payable				60,000
Common stock				23,624
Retained earnings				94,498
Dividends		17,000
Trucking fees earned				124,000
Depreciation expense—Trucks		21,392
Salaries expense		56,046
Office supplies expense		16,000
Repairs expense—Trucks		10,277
Totals	$	364,688	$	364,688

Use the above adjusted trial balance to prepare Wilson Trucking Company’s classified balance sheet as of December 31, 2016

Answer 1

Wilson Trucking Company

Balance sheet

December 31, 2016

ASSETS	Amount ($)	Amount ($)
Current Assets:-
Cash		$5400
Accounts Receivable		$29000
Office Supplies		$6573
Total Current Assets (A)		$40973
Plant Assets:-
Trucks	$161,000
Less: Accumulated Depreciation - Trucks	($33166)	$127,834
Land		$42000
Total plant Assets (B)		$169,834
Total Assets (A) + (B)		$210,807
Liabilities :
Current Liabilities :-
Account Payable		$9400
Interest Payable		$20000
Total Current Liabilities (A)		$29400
Long Term Liabilities:-
Long Term Notes Payable (B)		$60000
Total Liabilities (C) = (A) + (B)		$89400
Equity:-
Retained Earnings (Refer Note 1) (D)		$97783
Common Stock (E)		$23624
Total Liabilities and Equity (C + D + E)		$210,807

Note 1:- Calculation of Retained Earnings

Retained earnings as given in the question	$124,000
Less:- all the below mentioned expenses-
Dividends	($17000)
Depreciation Expense - Trucks	($21392)
Salaries Expense	( $56046)
Office Supplies - Expense	($16000)
Repair Expense - Trucks	($10277)
Retained Earnings taken to the balance sheet	$97783