Question

The account balances for a company are listed below. All balances are as of Dec. 31, 2017, except where noted otherwise

Accounts Payable $7,200 Rent Expense $2,100
Accounts Receivable 8,400 Equipment 74,500
Salaries Payable 5,600 Furniture 16,600
Notes Payable (due 12/31/19) 20,900 Depreciation Expense 4,000
Dividends 3,000 Accumulated Depreciation 10,000
Sales Revenue 139,500 Cash 14,000
Notes Payable (due 4/30/18) 2,500 Common Stock ???
Cost of Goods Sold 60,900 Trademark 8,000
Loss of Sale of Equipment 4,500 Retained Earnings (1/1/17) 56,200
Inventory 19,800 Marketable Equity Securities 300
Interest Expense 9,750 Gain on Sale of Building 2,450
Salary Expense 30,450 Prepaid Insurance Expense 500
Unearned Revenue 3,800 Copyright 6,000
Determine the common stock balance as of Dec. 31, 2017:

A. $20,650
B. $14,650
C. $2,850
D. $11,350
E. $17,150
A. $41,550
B. $42,050
C. $36,050
D. $30,250
E. $32,300

Answer 1

Normal Debit balance Normal Credit balance

Asset Liabilities

Contra liability equity

expenses Contra asset

loss Revenues

Contra equity Gains

Now working on the Trial balance :

Classification Accounts Debit Credit

Asset Accounts receivable 8400

Asset Inventory 19800

Asset Equipment 74500

Asset Furniture 16600

Asset Cash 14000

Asset Trademark 8000

Asset Marketable equity securities 300

Asset Prepaid insurance expense 500

Asset Copyright 6000

Contra Asset Accumulated 10,000

Contra equity Dividends 3000

Equity Retained earnings 56200

Expense Cost of goods sold 60900

Expense Interest expense 9750

Expense Salary expense 30450

Expense rent expense 2100

Expense Depreciation expense 4000

Gain Gain on sale of building 2450

Liability Accounts payable 7200

Liability Salaries payable 5600

Liability Notes payable (due 12/31/19) 20900

Liability Notes payable (due 04/30/18) 2500

Liability Unearned revenue 3800

Loss Loss of sale of equipment 4500

Revenue Sales revenue 139500

Total $ 262,800 $ 248,150

Difference = common stock $ 14,650

Therefore the common stock on 31st of December 2017 = $ 14,650