Given the Adjusted Trial Balance Below,prepare (In Good Form)an Income

question 245

Essay

Given the adjusted trial balance below,prepare (in good form)an income statement,statement of retained earnings,and balance sheet.The name of the business is Duncore Secretarial Service and the accounting period coincides with the calendar year.
$\begin{array}{c} \text { Duncore Secretarial Service}\\ \text { Adjusted Trial Balance}\\ \text { December 31, 2010}\\\begin{array}{|l|r|r|}\hline \text { Cash } & \$265 \\\text { Accounts Receivable } & 600 \\\text { Supplies } & 10 \\\text { Prepaid Insurance } & 10 \\\text { Office Equipment } & 1,000\\\text { Accumulated Depreciation-Office Equipment } &&150 \\\text { Accounts Payable } &&600 \\\text { Salaries Payable } &&35 \\\text { Common Stock } && 500 \\\text { Retained Earnings } && 200 \\\text { Service Revenue Earned } & &1,100\\\text { Salaries Expense } & 560 \\\text { Supplies Expense } & 40 \\\text { Insurance Expense } & 50 \\\text { Depreciation Expense-Office Equipment } & 50 \\&\$2,585&\$2,585\\\hline \end{array}\end{array}$

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Definitions:

Journalize

The act of recording financial transactions in a company's journal, a step in the accounting process.

Withdraws

The action of taking money out of an account, or removing capital from a business by its owners.

Personal Use

Personal use refers to the utilization of property, assets, or services for individual rather than business or commercial purposes.

Journal Entry

A record of financial transactions in the accounting books of a business, showing the accounts affected and the amounts of debits and credits.