Chapter B, Problem 35PA

Prepare a trial balance and financial statements. (LO 1, 2). The following is account information tor Vision Corporation as of December 31, 2011, after all adjustments have been made:

Revenue    $20,000

Prepaid rent    1,000

Equipment    12,500

Accumulated depreciation, equipment    3,000

Common stock    4,000

Retained earnings    2,500^a

Accounts receivable    5,000

Accounts payable    2,000

Salaries expense    2,000

Depreciation expense    1,000

Cash    1,000

Inventory    8,000

Dividends    1,000

³Balance at January 1, 2011.

Requirement

Prepare a trial balance at December 31, 2011, income statement and statement of changes in shareholders’ equity for the year ended December 31, 2011, and balance sheet at December 31, 2011.