Explore BrainMass

Explore BrainMass

    Income statement, Balance Sheet, and Statement of Retained Earnings

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    See the attached file.

    Waimea Trading Company's trial balance as of December 31, 2007, is shown below

    Waimea Trading Company
    Work sheet
    31-Dec-07

    Salaries expense 400
    Retained earnings (4,450)
    Prepaid rent 500
    Marketable securities 300
    Common stock (2,700)
    Interest revenue (300)
    Interest receivable 300
    Officer's salaries 600
    Accounts payable (700)
    Office expense 300
    Cost of goods sold 4,300
    Equipment 1,000
    Income tax expense 200
    Rent expense 300
    Inventory 1,100
    Dividends 800
    Cash 3,200
    Sales revenue (8,400)
    Short-term notes receivable 3,750
    Income tax payable (300)
    Long-term notes payable (1,000)
    Accounts receivable 800

    Required:
    "Rearrange the items and balances into an income statement, statement of retained earnings, and balance sheet. The beginning retained earnings reflected a 700 net loss from previous periods. You can present the account balances on the balance sheet as positive numbers. The balance sheet should balance. The number of rows on the solution worksheet are not indicative of the number of entries in each section. You may have to add or delete rows to achieve your desired solution."

    © BrainMass Inc. brainmass.com June 4, 2020, 4:35 am ad1c9bdddf
    https://brainmass.com/business/pro-forma-financial-statements/income-statement-balance-sheet-statement-retained-earnings-569248

    Attachments

    Solution Summary

    The solution involves presenting items on an account balance sheet.

    $2.19

    ADVERTISEMENT