The following account balances appear in the 2021 adjusted trial balance of Blue Devils Corporation: Cash, $4,700; Accounts Receivable, $8,700; Supplies, $18,700; Equipment, $117,000; Accumulated Depreciation, $43,500; Accounts Payable, $25,700; Salaries Payable, $15,700; Common Stock, $57,000; and Retained Earnings,. Prepare the December 31, 2021, classified balance sheet including the correct balance for retained earnings. (Amounts to be deducted should be entered with minus sign.)

Question

Business

Tripp Hicks

1 August, 23:27

The following account balances appear in the 2021 adjusted trial balance of Blue Devils Corporation: Cash, $4,700; Accounts Receivable, $8,700; Supplies, $18,700; Equipment, $117,000; Accumulated Depreciation, $43,500; Accounts Payable, $25,700; Salaries Payable, $15,700; Common Stock, $57,000; and Retained Earnings,. Prepare the December 31, 2021, classified balance sheet including the correct balance for retained earnings. (Amounts to be deducted should be entered with minus sign.)

+2

Answers (1)

Know the Answer?

Dominique Reid · Answer 1

Blue Devils Corporation balance sheet as at December 31, 2021

Non - Current Assets

Equipment, $117,000

Less Accumulated Depreciation ($43,500)

Total Non - Current Assets $73,500

Current Assets

Cash, $4,700

Accounts Receivable, $8,700

Supplies, $18,700

Total Current Assets $32,100

Total Assets $105,600

Current Liabilities

Accounts Payable, $25,700

Salaries Payable, $15,700

Total Current Liabilities $41,400

Equity

Common Stock, $57,000

Retained Earnings (Balancing Figure) $7,200

Total Equity $64,200

Total Equity and Liabilities $105,600

Explanation:

The Balance of retained earnings is determined by missing figure approach using the Accounting Equation : Assets = Liabilities + Equity.