Use the Following Information to Prepare a Trial Balance

question 89

Essay

Use the following information to prepare a trial balance. $$\begin{array} { | l r l r | } \hline \text { Cash } & \$ 6,200 & \text { Dividends } & \$ 1,200 \\\text { Unearned revenue } & 1,200 & \text { Salaries expense } & 2,200 \\\text { Prepaid insurance } & 1,200 & \text { Accounts receivable } & 3,400 \\\text { Accounts payable } & 1,900 & \text { Common stock } & 6,200 \\\text { Retained earnings } & 1,600 & \text { Service revenue } & 7,100 \\\text { Utilities expense } & 3,000 & \text { Maintenance expense } & 800 \\\hline\end{array}$$

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Definitions:

Earnings Per Share

A company's profit divided by the number of outstanding shares of its common stock.

Common Stockholders' Equity

The portion of the equity of a corporation attributable to common shares, including retained earnings and contributed capital.

Weighted-Average Shares

The number of shares outstanding adjusted for changes in share capital, used in calculating earnings per share over a reporting period.

Retained Earnings Statement

A financial statement that outlines the changes in retained earnings for a company over a specific period.