Problem: Based on the adjusted trial balance and additional information, prepare the following in an Excel file to give to the controller for review:
o Balance sheet
o Income statement
o Statement of retained earnings
o Statement of cash flows
The following is additional information about the Flower Shoppe that is needed for financial-statement preparation:
• Net income for the year ended December 31, 2008 was $10,845.
• Changes from the prior year's balances included the following:
o a decrease in accounts receivable of $300.
o a decrease in inventory of $450.
o an increase in accounts payable of $250.
o an decrease in accrued expenses of $100.
• Land was purchased in April for $3,500.
• Cash as of January 1, 2008 was $10,105.
The Flower Shoppe
Adjusted Trial Balance
December 31, 2008
|
Debit
|
Credit
|
|
Cash
|
$22,750
|
|
|
Accounts Receivable
|
3,200
|
|
|
Inventory
|
8,000
|
|
|
Land
|
27,000
|
|
|
Building
|
56,000
|
|
|
Accumulated Depreciation
|
|
16,800
|
|
Accounts Payable
|
|
4,600
|
|
Accrued Expenses
|
|
2,500
|
|
Common Stock
|
|
20,000
|
|
Additional Paid-in Capital
|
|
10,000
|
|
Dividends
|
1,200
|
|
|
Retained Earnings
|
|
53,405
|
|
Sales
|
|
112,020
|
|
Returns
|
1,300
|
|
|
Purchases
|
47,000
|
|
|
Salaries
|
38,000
|
|
|
Supplies
|
870
|
|
|
Utilities
|
5,225
|
|
|
Telephone
|
2,850
|
|
|
Bank Charges
|
330
|
|
|
Depreciation Expense
|
5,600
|
|
|
$219,325
|
$219,325
|