2. a) Usingthe following information for Campbell Enterprises, prepare anannual:
Multiple-step income statement
Retained earnings statement
Classified balance sheet (7points)
b) Using the above information, compute Campbell’s gross profitrate. Please show the details of
your computation: (1 point)
Gross profitrate ____________________________________________
Campbell Enterprises, Inc.
Adjusted Trial Balance
December 31, 2019
Debit Credit
Cash 4,000
AccountsReceivable 15,000
Inventory 30,000
PrepaidInsurance 4,000
Supplies 3,000
Long-term Investment inStock 6,000
Land 20,000
Buildings 120,000
Accumulated Depreciation—
Buildings 20,000
Patents 10,000
AccountsPayable 10,000
UnearnedRevenue 2,000
Bonds Payable (due in2023) 20,000
CommonStock 80,000
RetainedEarnings 44,000
Dividends 30,000
SalesRevenue 305,000
InterestRevenue 5,000
SalesDiscounts 6,000
Sales Returns &Allowances 8,000
Cost of GoodsSold 188,000
Salaries and WagesExpense 21,000
DepreciationExpense 10,000
UtilitiesExpense 5,000
InsuranceExpense 3,000
SuppliesExpense 2,000
InterestExpense 1,000
486,000 486,000
