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-   -   Classified Balance Sheet Question (https://www.askmehelpdesk.com/showthread.php?t=511333)

  • Sep 27, 2010, 10:38 AM
    emw0315
    Classified Balance Sheet Question
    Hello, I'm doing a classified balance sheet and my total assets and total liabilties equal, can someone help me and show me what I'm doing wrong?

    Assets
    Current assets
    Cash 15,200
    Supplies 1900
    Prepaid rent 1,400
    Total current assets $18,500
    Plant assets
    Equipment 53,000
    Less accum. Dep.-equipment (6,900) $46,100
    Total plant assets $64,600

    Liabilities
    Current liabilities
    acct. payable 4,300
    Salary pay. 100
    Unearn. Ser. rev. 4,900
    Total current liabilities $9,300
    Long-term liabilities
    Notes pay (long-term) $6,000
    Total liabilities $15,300
    Stockholder equity
    Common stock 15,100
    Ret. Earn. 22,800
    Total st. equity $37,900
    Total liabilities & st. equity $53,200

    I am short $11,400 and can't figure out where it is coming from.
  • Sep 27, 2010, 10:48 AM
    pready

    There could be many reasons your balance sheet will not balance.

    First thing to do is check is if you have the correct account balances, then I would check the math in each account to determine if the balance is right or not.

    Also I would look at each individual account and look at the transactions in the account to figure out if the transaction was debited or credited properly.
  • Sep 27, 2010, 12:12 PM
    emw0315

    Okay, I tried the suggestions and everything balances on the worksheet, but not on my classified balance sheet. Here is the information on the worksheet:

    Account Debit Credit
    Cash 15,200
    Supplies 1,900
    Prepaid rent 1,400
    Equipment 53,000
    Accum. Depreciation 6,900
    Accounts payable 4,300
    Salary payable 100
    Unearn. Ser. rev. 4,900
    Long-term note payable 6,000
    Common stock 15,100
    Ret. Earn. 22,800
    Dividends 1,000
    Service revenue 18,500
    Salary expense 3,100
    Rent expense 1,400
    Dep. Expense 400
    Supplies expense 300
    Utilities expense 900

    Total $78,600 $78,600
  • Sep 27, 2010, 12:14 PM
    emw0315

    Well that didn't turn out like I wanted it too, but:

    Debits are:
    Cash, supplies, prepaid rent, equipment, dividends, salary expense, rent expense, depreciation expense, supplies expense

    Credits are:
    Accumulated depreciation, accounts payable, salary payable, unearned service revenue, long-term note payable, common stock, retained earnings, service revenue
  • Sep 27, 2010, 04:20 PM
    pready

    From your other post you have a trial balance or an adjusted trial balance.

    You are missing net income that will be added to retained earnings.
  • Sep 27, 2010, 04:26 PM
    emw0315

    Thank you, that was my missing $11,400.

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