Chapter 2: A Further Look at Financial Statements

Case Study: Mueller Inc.

These items are taken from the financial statements of Mueller, Inc.:

Prepaid insurance $ 2,400

Equipment 30,000

Salaries and wages expense 34,000 Fachbereich Elektrische

Energietechnik

Utilities expense 2,100 Dipl.-Kffr.

Sabine Katterbach
Accumulated depreciation—equipment 7,600
Center for Business Education
Accounts payable 7,200
Telefon
Cash 6,100 02921 378-3368
E-Mail
Accounts receivable 2,900 katterbach.sabine@fh-swf.de

Salaries and wages payable 3,000

Standort Soest
Lübecker Ring 2
Common stock 6,000 59494 Soest

Depreciation expense 4,300

Retained earnings (beginning) 14,000

Dividends 2,600

Service revenue 51,000 Fachhochschule

Südwestfalen
Maintenance and repairs expense 2,600 Sitz: Iserlohn

Insurance expense 1,800 Hagen

Iserlohn
Meschede
Soest
Tasks
www.fh-swf.de

Prepare
(a) an income statement,
(b) a retained earnings statement,
(c) and a classified balance sheet as of December 31, 2018.

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