Use the Following Accounts and Information to Prepare,in Good Form,an

question 150

Essay

Use the following accounts and information to prepare,in good form,an income statement,statement of retained earnings,and balance sheet for Cray Enterprises for the year ended December 31,2010.
$\begin{array}{lrlr}\text { Accounts Payable } & \$ 4,800 & \text { Land } & \$ 39,000 \\\text { Accounts Receivable } & 600 & \text { Notes Payable } & 6,000 \\\text { Buildings } & 52,000 & \text { Rent Expense } & 3,600 \\\text { Cash } & 26,200 & \text { Retained Earnings, } & 84,400 \\& & \text { December 31, 2009 } \\\text { Commissions Earned } & 19,000 & \text { Salaries Expense } & 8,400 \\\text { Common Stock } & 20,000 & \text { Supplies } & 400 \\\text { Dividends } & 3,000 & & \\\text { Insurance Expense } & 1,000 & &\end{array}$

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Definitions:

Inventory Goods

Items that a business holds for the ultimate goal of resale or trade, making up an essential part of a company's current assets.

Mexico's GDP

The total market value of all final goods and services produced within the borders of Mexico in a specific time period.

U.S. GDP

The total monetary or market value of all the finished goods and services produced within the United States' borders in a specific time period.

Newly Manufactured

Items or products that have been recently produced, as opposed to being second-hand or reused.