Preparing financial statements and preparing closing entries Aspen Publishers Company’s selected accounts as of November 30, 2012, follow:
|
Selling expenses |
$18,900 |
Inventory |
$42,000 |
|
Furniture |
36,900 |
Cash |
36,200 |
|
Sales returns and allowances |
2,600 |
Note payable |
21,800 |
|
Salary payable |
1,100 |
Accumulated depreciation |
22,800 |
|
Common stock |
27,800 |
Cost of goods sold |
54,000 |
|
Sales revenue |
114,300 |
Sales discounts |
1,800 |
|
Accounts payable |
13,600 |
General expenses |
9,000 |
Requirements
1. Prepare the multi step income statement, statement of retained earnings, and balance sheet for its first year of operations.
2. Prepare closing entries for the first year of operations.