the completed financial statement columns of the worksheet for muddy company are sho 581575

The completed financial statement columns of the worksheet for Muddy Company are shown below and on the next page.

MUDDY COMPANY

Worksheet

For the Year Ended December 31, 2011

Account

No.

Account Titles

Dr.

Cr.

Dr.

Cr.

101

Cash

17,900

112

Accounts Receivable

10,800

130

Prepaid Insurance

2,800

157

Equipment

21,000

167

Accumulated Depreciation

4,500

201

Accounts Payable

9,000

212

Salaries Payable

2,400

311

Common Stock

20,000

320

Retained Earnings

8,500

332

Dividends

11000

400

Service Revenue

56,000

622

Repair Expense

1,600

711

Depreciation Expense

2,100

722

Insurance Expense

1,800

726

Salaries Expense

30,000

732

Utilities Expense

1,400

Totals

36,900

56,000

63,500

44,400

Net Income

19,100

19,100

56000

56,000

63,500

63,500

Instructions

(a) Prepare an income statement, a retained earnings statement, and a classified balance sheet.

(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.