Using the Information Given Below, Prepare a Balance Sheet for Rapid

question 44

Essay

Using the information given below, prepare a balance sheet for Rapid Car Services from the adjusted trial balance. Owner Stella Grafton did not make any additional investments in the company during the year.
Rapid Car Services Adjusted Trial Balance
For the year ended December 31
$\begin{array}{l}\text { Cash } & \$ 33,000 \\\text { Accounts receivable } & 14,200 \\\text { Office supplies } & 1,700 \\\text { Vehides } & 100,000\\\text { Accumulated depreciation - Vehicles }&&45,000\\\text { Accounts payable}&&11,500\\\text { Stella Grafton, Capital}&&71,000\\\text { Stella Grafton, Withdrawals } & 40,000 \\\text { Fees earned } &&155,000 \\\text { Rent expense } & 13,000\\\text { Office supplies expense } & 2,000 \\\text { Utilities expense } & 2,500 \\\text { Depreciation Expense - Vehicles } & 15,000 \\\text { Salary expense } & 50,000 \\\text { Fuel expense } & 12,000\end{array}$
$\text {Totals}\quad\quad\quad\quad\quad\quad\$ 283,400 \quad \$ 283,400$

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Definitions:

Accrued Property Taxes

Property taxes that have been incurred but not yet paid, typically recorded as a liability on the balance sheet.

Cost of Land

The purchase price and all associated costs, such as legal fees and surveying, of acquiring land for business use.

Asset's Cost

The total amount of money or the value exchanged to acquire, maintain, improve, or replace an asset.

Intended Use

The purpose for which a product or service is specifically designed or for which it is intended to be used.