Question

The following information for the year ended December 31, 2016, was reported by Nice Bite, Inc.


Accounts Payable$53,000 Accounts Receivable 30,800 Cash (balance on January 1, 2016) 108,900 Cash (balance on December 31, 2016) 93,000 Common Stock 149,000 Dividends 0 Equipment 144,700 Income Tax Expense 10,900 Interest Expense 30,300 Inventory 18,000 Notes Payable 30,900 Prepaid Rent 7,800 Office Expense 15,100 Retained Earnings (beginning) 10,300 Salaries and Wages Expense 36,500 Service Revenue 153,800 Utilities Expense 25,900 Salaries and Wages Payable 16,000



Other cash flow information: Cash from issuing common stock$29,000 Cash paid to reacquire common stock 32,900 Cash paid for income taxes 11,800 Cash paid to purchase long-term assets 60,400 Cash paid to suppliers and employees 92,800 Cash received from customers 153,000

Make a balance sheet for 2016.

Answer 1

Answer:

Hi there!!

Assets                                 Liabilities  

Cash                      $93,000    Accounts Payable                     $53,000

Accounts Receivable $30,800    Salaries and Wages Payable     $16,000

Inventory              $18,000    Notes Payable                      $30,900

Equipment              $144,700 Total Liabilities                     $99,900

                                        Stockholders' equity              

                                        Common Stock                     $149,000

                                        Retained Earnings                     $10,300

                                        Net Income                             $27,300

                                        Total stockholders' equity     $186,600

Total Assets $286,500        Total Liabilities and              $286,500

                                                      stockholdes' equity

Explanation:

First, we make the Income Statement and determine the Net Income.  

That is the data that we must find out in order to complete the balance sheet.

Income Statement  

Service Revenue        $153,800

Deduct expenses  

Salaries and Wages $36,500

Prepaid Rent             $7,800

Office                         $15,100

Utilities                         $25,900

Interest                         $30,300

Income Tax                 $10,900

 

Net Income                 $27,300