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Prepare income statement, statement of changes in equity and a balance Sheet
I am having trouble preparing the balance sheet (classified format). Given was the adjusted trial balance and from that I had to prepare an Income statement, statement of change in equity, and a balance sheet. For some reason I can't seem to get the numbers to add up on the balance sheet. Can someone please look at my example and give their input. I had to .zip the word doc so I could upload.
Thanks
Comment on Just Looking's post
Thanks for pointing that out for me... don't know how the heck I missed that.
Thanks again,
Keith
Comment on Just Looking's post
That would be great if you could repost that. I also have another accounting question. Do you think you could help again?
Comment on Just Looking's post
I posted the question as an answer. So you should see the question below.
Comment on keith6292's post
I have to find the errors in the closing entries.
Comment on Just Looking's post
There was no trial balance given. It was just this closing balance and I had to find the errors.
Comment on Just Looking's post
I actually did that. Just forgot to post my answer in the example. Of course you must do it yourself first and then ask questions, if not you will never actually understand what your doing. The first example was all my own work first but then I had a brain fart.
Comment on Just Looking's post
Lets see if I am picking this up or not. The $2000 in the income summary will change because of errors in the revenue account and expense account. Also, I didn't mention withdrawals because I didn't see anything wrong with them. Is there another problem?
Comment on Just Looking's post
So in the 3rd entry income summary is 2,000 debit and capital is 2,000 is credit. (and this 2,000 will change due to errors above)
The 4th entry withdrawals is 6,000 credit and capital is 6,000 debit.
Comment on Just Looking's post
And yes highlighting in blue should work. Like I said, I only have to identify errors.