which statement reports the company rsquo s financial position 642893
Preparing financial statements from an adjusted trial balance. The adjusted trial balance of Party Piano Tuning Service, Inc., at fiscal yearend May 31, 2012, follows.
|
PARTY PIANO TUNING SERVICE, INC. Adjusted Trial Balance May 31, 2012 |
||
|
|
Balance |
|
|
Account Title |
Debit |
Credit |
|
Cash |
$ 12,600 |
|
|
Accounts receivable |
10,800 |
|
|
Supplies |
1,900 |
|
|
Equipment |
25,900 |
|
|
Accumulated depreciation |
|
$ 12,500 |
|
Accounts payable |
|
3,300 |
|
Unearned service revenue |
|
4,700 |
|
Salary payable |
|
800 |
|
Note payable |
|
14,000 |
|
Common stock |
|
1,800 |
|
Retained earnings |
|
11,800 |
|
Dividends |
38,000 |
|
|
Service revenue |
|
65,000 |
|
Depreciation expense |
5,600 |
|
|
Salary expense |
9,600 |
|
|
Utilities expense |
3,900 |
|
|
Insurance expense |
3,700 |
|
|
Supplies expense |
1,900 |
|
|
Total |
$113,900 |
$113,900 |
Requirements
1. Prepare Party’s 2012 income statement.
2. Prepare the statement of retained earnings for the year.
3. Prepare the year end balance sheet.
4. Which financial statement reports Party’s results of operations? Were the 2012 operations successful? Cite specifics from the financial statements to support your evaluation.
5. Which statement reports the company’s financial position?