Answer:
Sunland Company
Balance Sheet as at December 31, 2022
ASSETS
<u>Non - Current Assets</u>
Equipment (net) 110,500
Total Non - Current Assets 110,500
<u>Current Assets</u>
Inventory 2,900
Supplies 3,740
Accounts receivable 3,400
Cash 6,200
Total Current Assets 16,240
Total Assets 126,740
EQUITY AND LIABILITIES
Equity
Common stock 50,600
Retained Earnings 36,660
(126,740 - 39,480 - 50,600)
Total Equity
Liabilities
<u>Current liabilities</u>
Accounts payable 4,800
Interest payable 520
Unearned service revenue 860
Salaries and wages payable 800
Total Current liabilities 6,980
<u>Non - Current liabilities</u>
Notes payable 32,500
Total Non - Current Liabilities 32,500
Total Liabilities 39,480
Total Equity and Liabilities 126,740
Explanation:
A Balance Sheet shows the Assets, Liabilities and Equity as at the Reporting date.
The Retained Earnings have been calculated as 126,740(Total Assets) - 39,480 (Total Liabilities) - 50,600 (Common Stock) = $50,600.
