From the Following Accounts and Amounts Prepare a Balance Sheet

question 115

Essay

From the following accounts and amounts prepare a balance sheet for the Swell Company for December 31, 2010. You must compute the amount for retained earnings to complete the balance sheet.
$$\begin{array} { | l | r | } \hline \text { Accounts Payable } & \$ 61,250 \\\hline \text { Accounts Receivable } & \$ 70,500 \\\hline \text { Building } & \$ 50,000 \\\hline \text { Capital Stock } & \$ 50,000 \\\hline \text { Cash } & \$ 64,000 \\\hline \text { Equipment } & \$ 30,000 \\\hline \text { Insurance Expense } & \$ 5,000 \\\hline \text { Land } & \$ 125,000 \\\hline \text { Notes Payable } & \$ 175,000 \\\hline \text { Sales Revenue } & \$ 25,000 \\\hline \text { Salaries Expense } & \$ 20,000 \\\hline\end{array}$$

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Definitions:

Plastic Crash Dummies

Models made of plastic and other materials designed to simulate human physical responses in vehicle crash testing to improve safety.

Validity Effect

The phenomenon where a belief or a statement is more likely to be accepted as true the more it is repeated or encountered, regardless of its actual validity.

Exposure Effect

The psychological phenomenon where repeated exposure to a stimulus increases an individual's preference for that stimulus.

Contrast Effect

A psychological phenomenon wherein the perception or judgment of something is influenced by the comparison with something else, often leading to exaggeration of differences.