Multistep income statement and balance sheet
Required
Use the following information to prepare a multistep income statement and a classified balance sheet for Reza Equipment Co. for 2010.
|
Salaries expense
|
$ 96,000
|
Interest receivable (short term)
|
$ 500
|
|
Common stock
|
40,000
|
Beginning retained earnings
|
18,100
|
|
Notes receivable (short term)
|
12,000
|
Operating expenses
|
70,000
|
|
Allowance for doubtful accounts
|
4,000
|
Cash flow from investing activities
|
80,000
|
|
Accumulated depreciation
|
30,000
|
Prepaid rent
|
9,600
|
|
Notes payable (long term)
|
103,600
|
Land
|
36,000
|
|
Salvage value of building
|
4,000
|
Cash
|
17,800
|
|
Interest payable (short term)
|
1,800
|
Inventory
|
122,800
|
|
Uncollectible accounts expense
|
10,800
|
Accounts payable
|
46,000
|
|
Supplies
|
1,600
|
Interest expense
|
24,000
|
|
Equipment
|
60,000
|
Salaries payable
|
9,200
|
|
Interest revenue
|
4,200
|
Unearned revenue
|
52,600
|
|
Sales revenue
|
396,000
|
Cost of goods sold
|
143,000
|
|
Dividends
|
8,000
|
Accounts receivable
|
90,000
|
|
Rent expense
|
3,400
|
|
|