The adjusted trial balance columns of Falcetto Company’s worksheet for the year ended

December 31, 2017, are as follows. Prepare an income statement and balance sheet for
Falcetto Company.

Accumulated Depreciation
Cash 14,500 —Equipment 18,000

Accounts receivable 11,100 Notes Payable 25,000

Inventory 29,000 Accounts payable 10,600

Prepaid insurance 2,500 Owner's capital 81,000

Equipment 95,000 Sales revenue 536,800

Owner's drawings 12,000 Interest revenue 2,500

Sales Returns and Allowances 6,700 673,900

Sales Discounts 5,000

Cost of Goods Sold 363,400

Freight-Out 7,600

Advertising Expense 12,000

Salaries and Wages Expense 56,000

Utilities Expense 18,000

Rent Expense 24,000

Depreciation Expense 9,000

Insurance Expense 4,500

Interest Expense 3,600

673,900