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The following information is available for Ivanhoe Company

Accounts receivable $3,500 Cash $6,210
Accounts payable 4,000 Supplies 3,810
Interest payable 640 Unearned service revenue 930
Salaries and wages
expense 4,300 Service revenue 41,200
Notes payable 32,000 Salaries and wages payable 900
Common stock 68,900 Depreciation expense 750
Inventory 2,830 Equipment (net) 108,600
Using the information above, prepare a balance sheet as of December 31, 2022.

User Rlorenzo
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Answer:

Ivanhoe Company

Balance Sheet

As of December 31, 2022:

Assets:

Current assets:

Cash $6,210

Accounts receivable 3,500

Supplies 2,830 $12,540

Long-term assets:

Equipment (net) 108,600

Total assets $121,140

Liabilities and Equity:

Liabilities:

Current Liabilities:

Accounts payable $4,000

Interest payable 640

Unearned service revenue 930

Salaries and wages payable 900

Total current liabilities $6,470

Long-term liabilities:

Notes payable 32,000

Total liabilities $38,470

Equity:

Common stock 68,900

Retained earnings 35,170 $104,070

Total liabilities + equity $142,540

There is a discrepancy in the totals of $21,400.

Step-by-step explanation:

a) Data and Calculations:

Cash $6,210

Accounts receivable $3,500

Supplies 3,810

Accounts payable 4,000

Interest payable 640

Unearned service revenue 930

Salaries and wages payable 900

Service revenue 41,200

Salaries and wages expense 4,300

Depreciation expense 750

Notes payable 32,000

Common stock 68,900

Inventory 2,830

Equipment (net) 108,600

Supplies Expense:

Supplies 3,810

Inventory 2,830

Used 980

Income Statement for the year ended December 31, 2022:

Service revenue $41,200

Salaries and wages expense 4,300

Depreciation expense 750

Supplies Expenses 980

Net Income $35,170

User Xcalibur
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