Mary Close is the bookkeeper for Mendez Company. Mary has been trying to get the balance sheet of Mendez Company to balance. Mendez’s balance sheet is shown below.
MENDEZ COMPANY
Balance Sheet
December 31, 2011
|
Assets |
Liabilities |
||
|
Cash |
$15,000 |
Accounts payable |
$20,000 |
|
Supplies |
8,000 |
Accounts receivable |
(8,500) |
|
Equipment |
46,000 |
Common stock |
50,000 |
|
Dividends |
10,000 |
Retained earnings |
17,500 |
|
Total assets |
$79,000 |
Total liabilities and |
|
|
stockholders’ equity |
$79,000 |
Instructions
Prepare a correct balance sheet.