Question

5. Account Title	Debit			Credit
Cash	$	9,300
Accounts receivable		27,500
Office supplies		6,518
Trucks		191,000
Accumulated depreciation—Trucks				$	39,346
Land		50,000
Accounts payable					13,300
Interest payable					5,000
Long-term notes payable					42,000
Common stock					15,000
Retained earnings					146,818
Dividends		10,000
Trucking fees earned					130,000
Depreciation expense—Trucks		25,378
Salaries expense		55,577
Office supplies expense		6,000
Repairs expense—Trucks		10,191
Totals	$	391,464		$	391,464

  
Use the above adjusted trial balance to prepare Wilson Trucking Company’s classified balance sheet as of December 31, 2017.

Answer 1

	Wilson Trucking co.
	Balancesheet
	As on December 31, 2017
	Assets :
	Current assets
	Cash		$       9,300
	Accounts Receivables		$     27,500
	Office supplies		$       6,518
	Total Current assets		$     43,318
	Plant assets
	Trucks	$ 1,91,000
	Less: Accumulated Deprecialtion on Building	$     39,346	$ 1,51,654
	Land		$     50,000
	Total Plant assets		$ 2,01,654
	Total assets		$ 2,44,972
	Liabilities :
	Current Liabilities
	Accounts Payable		$     13,300
	Interest Payable		$       5,000
	Total Current Liabilities		$     18,300
	Non Current Liabilities
	Long term notes Payable		$     42,000
	Total Non Current Liabilities		$     42,000
	Total Liabilities		$     60,300
	Equity
	Common stock		$     15,000
	Retained Earnings		$ 1,69,672
	Total Equity		$ 1,84,672
	Total Equity and Liabilities		$ 2,44,972
	Working Notes:
	Computation of retained earnings
	Retained earnings statement
	For the year ended December 31, 2017
	Opening balance January 01, 2017		$ 1,46,818
Add:	Net Income	$     32,854
Less:	Dividend paid	$     10,000
			$     22,854
	Closing balance December 31, 2017		$ 1,69,672
	Computation of Net Income:
	Revenues
	Trucking fees earned		$ 1,30,000
Less:	Expenses
	Depreciation expense- Trucks	$     25,378
	Salaries expense	$     55,577
	Office supplies expense	$       6,000
	Repairs expense - Trucks	$     10,191
	Total Expense		$     97,146
	Net Income		$     32,854