P4-3a hubbs company – the completed financial statement columns of

The completed financial statement columns of the worksheet for Hubbs Company are shown below.

P4-3A The completed financial statement columns of the worksheet for Hubbs Company are shown below.

Hubbs Company

Worksheet

For the Year Ended December 31, 2014

Income Statement Balance Sheet

Account

No. Account Titles Dr. Cr. Dr. Cr.

101 Cash 6,200

112 Accounts Receivable 7,500

130 Prepaid Insurance 1,800

157 Equipment 33,000

167 Accumulated Depreciation—Equip. 9,900

201 Accounts Payable 11,700

212 Salaries and Wages Payable 3,000

311 Common Stock 20,000

320 Retained Earnings 9,700

332 Dividends 4,000

400 Service Revenue 47,000

622 Maintenance and Repairs Expense 4,100

711 Depreciation Expense 3,300

722 Insurance Expense 2,200

726 Salaries and Wages Expense 35,200

732 Utilities Expense 4,000

Totals 48,800 47,000 52,500 54,300

Net Loss 1,800 1,800

48,800 48,800 54,300 54,300

Instructions

(a) Prepare an income statement, a retained earnings statement, and a classified balance sheet. No additional common stock was issued during 2014.

(b) Prepare the closing entries.

(c) Post the closing entries and rule and balance the accounts. Use T accounts. Income Summary is account No. 350.

(d) Prepare a post-closing trial balance.

Dividends Expenses Investments Net Income / (Loss) Retained Earnings, January 1 Retained Earnings, December 31 Revenues Total Expenses Total Revenues

DividendsExpensesInvestmentsNet Income / (Loss)Retained Earnings, January 1Retained Earnings, December 31RevenuesTotal ExpensesTotal Revenues $