Module 7 Prepare the multi-step income statement, statement of retained earnings, and balance sheet for Ma and Pa Grocery

Module 7 Assignment

Prepare the multi-step income statement, statement of retained earnings, and balance sheet for Ma and Pa Grocery as of December 31, 20XX.

Calculate the gross profit % for the year; calculate the current ratio for the year.

 

Sales Revenue                  322,800

Equipment                          104,000

Accounts Payable            16,500  

Sales Discounts                 2,200    

Advertising Expense       12,600  

Interest Expense             1,700    

Wages Payable                 1,600    

Accounts Receivable      6,900    

Building                                140,000

Common Stock                 35,000  

Sales returns and Allownaces      6,700    

Utilities Expense              10,300  

Inventory                      16,400  

Commission Expense     22,300  

Cost of goods sold           158,400

Accumulated depreciation-equipment  26,400  

Unearned sales revenue            2,500    

Prepaid Rent                            1,200    

Office salaries expense            52,000  

Accumulated depreciation-building         40,500  

Rent Expense                            5,800    

Dividends                                14,000  

cash                                         7,800    

retained earnings                    87,600  

dielivery expense                      1,300    

insurance expense                    5,700    

mortgage payable(long term)   37,000  

Supplies                                      600         

 

Requirements: 

1.   Prepare the Income Statement for the period ending December 31, 20XX.
2.   Prepare the Statement of Retained Earnings for the period ending 12/31/20XX.
3.   Prepare the Balance Sheet for the period ending 12/31/20XX.
4.  Calculate the gross profit % for the year.
5.  Calculate the current ratio for the year.