Diff: 2 Type: ES
L.O.: 1-2
CPA COMPETENCIES: Chapter 1
1.1.1 Evaluates financial reporting needs
1.1.2 Evaluates the appropriateness of the basis of financial reporting
1.1.3 Evaluates reporting processes to support reliable financial reporting
93) Keria Corp. prepared the following random list of assets, liabilities, revenues, and expenses from its December 31, 2017, accounting records. The beginning retained earnings as of January 1, 2014, was $43,100 and the owner, Keria Staple, received dividends of $14,600 during the year. Prepare the balance sheet for Keria Corp. as of December 31, 2017.
Accounts receivable $15,700 Service revenue $50,500
Interest expense 4,900 Cash 128,000
Supplies 1,500 Note payable 17,000
Accounts payable 106,100 Salary expense 18,000
Utilities expense 5,200 Interest payable 1,600
Furniture 18,000 Rent expense 9,400
Salary payable 2,400 Automobiles 12,900
Common shares 30,500 Land 23,000
Answer: Keria Corp.
Balance Sheet
December 31, 2017
Assets Liabilities