Question

The following information was reported in the December 31, 2012, financial statements of Southeast Airlines, Inc. (listed alphabetically, amounts in millions)
Accounts Payable 4,460
Accounts Receivable 620
Aircraft Fuel Expense 9,100
Cash 3,010
Common Stock 1,240
Dividends 40
Equipment 14,850
Income Tax Expense 230
Interest Expense 170
Landing Fees Expense 3,500
Notes Payable 6,970
Repairs and Maintenance Expense 1,600
Retained Earnings (as of December 31, 2012) 6,510
Salaries and Wages 3,340
Expense Supplies 7000
Ticket Revenues 19,100
Prepare a balance sheet at December 31, 2012. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10.)

Answer 1

Answer and Explanation:

The preparation of the balance sheet is presented below:

                                                          Airlines, Inc.

                                                         Balance sheet

                              For the year ended December 31,2012

Liabilities & Equity                Amount                   Assets              Amount

Accounts Payable               $4,460        Accounts Receivable $620

Notes Payable                     $6,970        Cash                            $3,010

Common Stock                    $1,240        Equipment                  $14,850

Retained Earnings               $6,510      Supplies                         $700

Total liabilities & equity     $19,180      Total assets                 $19,180