[monkeypawsoup]

Here is the info I got from a worksheet for preparing statements.
101 Cash 18,800
112 Acct Receive 16,200
126 Supplies 2,300
130 Prepaid Insurance 4,400
151 Office equipment 44,000
152 Accumulated Depreciation office equip. 20,000
200 Notes Payable 20,000
201 Accounts Payable 8,000
212 Salaries Payable 2,600
230 Interest Payable 1,000
311 Common Stock 30,000
320 Retained earnings 6,000
332 Dividends 12,000
400 Service Revenue 77,800
610 Advertising Expense 12,000
631 Supplies expense 3,700
711 Depreciation expense 8,000
722 Insurance expense 4,000
726 Salaries expense 39,000
905 Interest expense 1,000
Totals $165, 400 165,4000

Some additional information: $10,000 of the notes payable become due in 2009. No additional issuance of common stock occurred during 2008. The book also states that the current assets $41,700 and current liabilites $21,600

Here is my income statement...
Revenues
Service Revenue $77,800
Expenses
Salaries expense $39,000
Advertising expense 12, 000
Supplies expense 3,700
Insurance expense 4,000
Interest expense 1,000
Depreciation expense 8,000
Total expense 67,700
$10,100
Here is my retained earnings...
Retained earnings January 1, 2008 $6000
Add: Net income 10,100
$16,100
Less: Dividends
Retained earnings December 31, 2008 12,000
$4,100
And here is my balance sheet... which I cannot make add up
Assets
Cash 18,800
Accounts receivable 16,200
Supplies 1,400
Prepaid Insurance 400
Office Equipment 44,000
Less Accum. Depreciation- office equip. 20,000 24,000
Total Assets $60,800
Liabilities and Stockholders’ Equity
Notes payable 10,000
Accounts payable 8,000
Interest payable 1,000
Advertising payable 12,000
Salaries payable 2,600
Total liabilities $21,600
Stockholders’ equity
Common Stock 30,000
Retained earnings 4,100
Total Liabilities and stockholders’ equity $55,700
I think the liabilities and shockholders' equity is correct but I am at a loss on what I did wrong for the assets. Please help.

[ROLCAM]

I have answered this question before:-

DO NOT GIVE UP!

You are doing very well.

You have arrived at the correct result of
$10,100 Profit.

Next Calculate the NEW RETAINED EARNINGS.

1) Profit = 10,100
2) Add old retained = 6,000
3) Sub-total = 16,100
4) Less Dividend = 12,000
_______________________
5) New retained = 4,100
_____________________

All you have to do now is
FORMULATE A BALANCE SHEET

[monkeypawsoup]

It's the balancesheet I need the help with, I can't make the assets line up to the liabilities and stockholders' equity.Assets
Cash 18,800
Accounts receivable 16,200
Supplies 1,400
Prepaid Insurance 400
Office Equipment 44,000
Less Accum. Depreciation- office equip. 20,000 24,000
Total Assets $60,800
Liabilities and Stockholders’ Equity
Notes payable 10,000
Accounts payable 8,000
Interest payable 1,000
Advertising payable 12,000
Salaries payable 2,600
Total liabilities $21,600
Stockholders’ equity
Common Stock 30,000
Retained earnings 4,100
Total Liabilities and stockholders’ equity $55,700
I think the liabilities and shockholders' equity is correct but I am at a loss on what I did wrong for the assets. Please help.

[ROLCAM]

SEE ABOVE :-

Total liabilities $21,600 ** NOT CORRECT

Total Liabilities and stockholders' equity $55,700*** NOT CORRECT.

Be extra careful with your Maths.

Also, go back and check every figure with
The original figures.
The Balance Sheet still does NOT balance.
There is a discrepancy of $6,900.
You must have another figure, or
One or more of the figures are incorrect.

Rolcam

[ROLCAM]

You keep on sinking!
The reason is you keep changing figures
Mid-stream.
You literally changed 3 figures??

1) 126 Supplies 2,300 **** Supplies 1,400

2) 200 Notes Payable 20,000**Notes payable 10,000

3) 130 Prepaid Insurance 4,400**Prepaid Insurance 400

ACCURACY is of the utmost importance.
Fix these discrepancies and you will be right.

Rolcam

[monkeypawsoup]

For the supplies I took supplies expenses away from total supplies, same with prepaid insurance. The reason for the note' s payable is a side note in the book.. "$10,000 of the notes payable become due in 2009 so I figured for the year of 2009 they only paid 10,000 of the 20,000. The book also states that the current assets should be $41,700 and current liabilites $21,600. If the notes payable is only 10,000 then the total liabilites match up, the assets are hidden from me though I cannot make them 41,700.

[Jannellrae]

Note payable 10,000 Cash 18,800
Account payable 8,000 Account Receivable 16,200
Salaries payable 2,600 Supplies 2,300
Interest payable 1,000 Prepaid Insu. 4,400
Total 2,1000 Total 41,700
Now do the stock holders equity