The adjusted trial balance for Tybalt Construction on December 31 of the current year follows.
TYBALT CONSTRUCTION
Adjusted Trial Balance
December 31
Number Account Title Debit Credit
101 Cash $ 6,500
126 Supplies 33,300
128 Prepaid insurance 8,500
167 Equipment 40,000
168 Accumulated depreciation—Equipment $ 20,000
173 Building 168,000
174 Accumulated depreciation—Building 56,000
183 Land 69,580
201 Accounts payable 15,500
203 Interest payable 2,200
208 Rent payable 3,000
210 Wages payable 2,900
213 Property taxes payable 900
236 Unearned revenue 16,100
251 Long-term notes payable 60,500
307 Common stock 6,500
318 Retained earnings 125,500
319 Dividends 11,200
403 Services revenue 103,000
406 Rent revenue 17,000
409 Interest revenue 5,700
606 Depreciation expense—Building 12,320
612 Depreciation expense—Equipment 6,000
623 Wages expense 43,300
633 Interest expense 5,000
637 Insurance expense 8,700
640 Rent expense 11,100
652 Supplies expense 6,900
683 Property taxes expense 4,400
Totals $ 434,800 $ 434,800
The Retained Earnings account balance was $125,500 on December 31 of the prior year.
Required:
1a. Prepare the income statement for the current year ended December 31.
1b. Prepare the statement of retained earnings for the current year ended December 31.
1c. Prepare the classified balance sheet at December 31 of the current year.
2. Prepare the necessary closing entries at December 31 of the current year.
