Trial Balance South Shore Medical Clinic
Trial Balance south Shore Medical Clinictrial Balancedecember 31, 20x3d
Trial Balancesouth Shore Medical Clinictrial Balancedecember 31, 20x3d
Trial Balance South Shore Medical Clinic Trial Balance December 31, 20X3 Debit Credit Cash $ 50,000 Accounts Receivable 55,000 Supplies 10,000 Inventory 40,000 Equipment 75,000 Building 150,000 Accounts Payable $ 25,000 Current Portion - Long Term Debt 35,000 Long Term Debt, net of Current Portion 100,000 Owner's Equity 200,000 Service Fee Revenue 125,000 Salaries Expense 78,500 Rent Expense 24,000 Utilities Expense 2,500 Totals $ 485,000 $ 485,000 Income Statement Task #1: Using the Trial Balance, prepare an Income Statement. South Shore Medical Clinic Income Statement For the year ending December 31, 20X3 Revenues: Service Fee Revenue Total Revenues Expenses: Salaries Expense Rent Expense Utilities Expense Total Expenses Income: Net Income Balance Sheet Task #2: Using the Trial Balance, enter the appropriate amounts for each account.
Classify each as an Asset, Liability, or Equity account then specify if they are current or non-current. Account Account Balance Type of Account Current/NonCurrent Asset Current Cash Liability Non-current Inventory Equity Either Supplies Building Equipment Accounts Receivable Accounts Payable Current Portion - Long Term Debt Long Term Debt, net of Current Portion Owner's Equity Task #3: Once complete, prepare a Balance Sheet listing the accounts and account balances in the appropriate order. (Keep in mind that Net Income Increases the Owner's Equity Account). South Shore Medical Clinic Balance Sheet December 31, 20X3 ASSETS LIABILITIES & NET WORTH Current Assets Current Liabilities Cash Accounts Payable Accounts Receivable Current Portion - Long Term Debt Supplies Total Current Liabilities Inventory Total Current Assets Non-current Liabilities Long Term Debt, net of Current Portion Non-current Assets Total Non-Current Liabilities Equipment Building NET WORTH Total Non-current Assets Owner's Equity $ 200,000 TOTAL ASSETS TOTAL LIABILITIES & NET WORTH Questions Questions: 1.
Briefly describe whether or not you think this company is profitable. 2. Is the company collecting enough in revenue to cover their expenses? 3. Comment on any suggestions you might have for the company's owners.