Question

The following is the Easton Company's adjusted Trial Balance.

Easton Company
Adjusted Trial Balance
December 31, 2018
Account Title	Debit	Credit
Cash	$88,665
Accounts Receivable	232,000
Supplies	17,000
Equipment	395,000
Accumulated Depreciation		$224,260
Accounts Payable		72,555
Capital Stock		220,000
Retained Earnings		127,145
Service Revenue		877,105
Interest Income		5,500
Dividends	7,000
Rent Expense	59,900
Wages Expense	529,000
Supplies Expense	40,000
Utilities Expense	8,000
Depreciation Expense	150,000	________
Totals	$1,526,565	$1,526,565

Use this information to prepare the Balance Sheet for the fiscal year. There are additional lines in the formatted Balance Sheet form to allow for authorized alternate presentations.

Answer 1

Balance Sheet
Assets
Current Assets
Cash	$         88,665
Accounts Receivable	$     2,32,000
Supplies	$         17,000
Total Current Assets		$     3,37,665
Equipment	$     3,95,000
Less : Accumulated Depreciation	$    -2,24,260
Total Land, Buildings and Equipment		$     1,70,740
Total Assets		$     5,08,405
Liabilities & Stockholder's Equity
Current Liabilities
Accounts Payable	$         72,555
Total Current Liabilities		$         72,555
Stockholder's Equity
Capital Stock	$     2,20,000
Retained Earnings	$     2,15,850
Total Stockholder's Equity		$     4,35,850
Total Liabilities & Stockholder's Equity		$     5,08,405

Income Statement
Revenue
Service Revenue	$     8,77,105
Interest Income	$           5,500
Total Revenue		$     8,82,605
Expenses
Rent Expense	$         59,900
Wages Expense	$     5,29,000
Supplies Expense	$         40,000
Utilities Expense	$           8,000
Depreciation Expense	$     1,50,000
Total Expenses		$     7,86,900
Net Income		$         95,705