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    jardi008 Posts: 1, Reputation: 1
    New Member

    Oct 24, 2007, 02:06 PM
    Classified (multi-step) Income Statement, and Classified Balance Sheet

    I am in Accounting and I have a question on a homework problem that wasn't covered in the discussion. A trial balance sheet was given and a Classified (multi-step) Income Statement and a Classified Balance Sheet need to be made. If you could help me figure out what points should be under each that would be great!

    Thomas Sales Company (organized as a corporation on April 1, 2006) has completed the accounting cycle for the second year, ended March 31, 2008. Thomas also has completed a correct trial balance as follows:

    Account Titles:
    Cash- Debit 53,000
    Accounts Recievable- Debit 44,800
    Office Supplies Inventory- Debit 300
    Automobiles (company cars)- Debit 30,000
    Accumulated Depreciation, automobiles- Credit 10,000
    Office Equipment- Debit 3,000
    Accumulated Depreciation, Office Equip.- Credit 1,000
    Accounts Payable- Credit 20,250
    Income Taxes Payable- Credit 0
    Salaries and Commissions Payable- Credit 1,500
    Note Payable, Long Term- Credit 30,000
    Capital Stock (par $1; 30,000 shares)- Credit 30,000
    Paid in Capital- Credit 5,000
    Retained Earnings (on April 1, 2007)- Credit 7,350
    Dividends declared and paid during the current year- Debit- 8,000
    Sales Revenue- Credit 90,000
    Cost of Goods Sold- Debit 30,000
    Operating expenses (detail omitted to conserve your time)- Debit 18,000
    Depreciation expense (on autos and including $500 on office equipment)- Debit 5,500
    Interest Expense- Debit 2,500
    Income Tax Expense (not yet computed)
    Totals 195,100 195,100
    pready's Avatar
    pready Posts: 3,197, Reputation: 207
    Ultra Member

    Mar 1, 2012, 12:25 PM
    Revenues, Cost of Goods Sold, and expenses are Income Statement accounts. Your other accounts are all Balance Sheet accounts.

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