Question

1. Balance Sheet

Dynamic Weight Loss Co. offers personal weight reduction consulting services to individuals. After all the accounts have been closed on June 30, 20Y7, the end of the The annual accounting period adopted by a business.fiscal year, the balances of selected accounts from the ledger of Dynamic Weight Loss are as follows:

Accounts Payable	$9,140
Accounts Receivable	22,030
Accumulated Depreciation - Equipment	27,510
Common Stock	180,000
Cash	?
Equipment	79,520
Land	106,000
Prepaid Insurance	5,120
Prepaid Rent	3,200
Retained Earnings	3,350
Salaries Payable	3,560
Supplies	550
Unearned Fees	2,650

Prepare a classified balance sheet that includes the correct balance for Cash.

Answer 1

Dynamic Weight Loss Co. Balance Sheet
Assets
Current assets:
Cash ($40,690-22,030-550-5,120-3,200)	$9,790
Accounts receivable	22,030
Supplies	550
Prepaid insurance	5,120
Prepaid rent	3,200
Total current assets ($198,700-158,010)		40,690
Property, plant and equipment:
Land	106,000
Equipment	79,520
Less: Accumulated depreciation	(27,510)
Total property, plant and equipment		158,010
Total assets		198,700
Liabilities and stockholder's equity
Liabilities:
Accounts payable	9,140
Salaries payable	3,560
Unearned fees	2,650
Total current liabilities		15,350
Stockholder's equity
Common stock	180,000
Retained earnings	3,350
Total stockholder's equity		183,350
Total liabilities and stockholder's equity		$198,700