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Income Statement

for year ended december $312022$

Revenues

Sales $663,300$

Cost of Goods Sold $478,000$

Total Gross Profit $185,300$

Operation Expenses

Depreciation expense $-$ Equip $30,000$

Advertising expenses $26,000$

Insurance expense $4,300$

Rent expense $22,000$

Supplies expense $3,000$

Wages expense $92,000$

Repairs expense $32,000$

Utilities expense $33,000$

Total Expenses $242,300$

Operating Income $(57,000)$

Other Revenue and Expenses

Other Revenues $328,000$

Interest expense $70,000$

Total other Revenue and expense $258,000$

Net Income $201,000$

Statement of Owner's Equity

for year ended december $312022$

Common Stocks Retained Earning

Beginning Equity $350,000336,000686,000$

Add: Net Income $201,000201,000$

Ending Equity $350,000537,000887,000$

Balance Sheet

for year ended december $312022$

Current Asset

Cash $215,000$

Marketable Securities $70,000$

Inventory $41,000$

Trade Receivables $33,300$

Total Current Asset $359,300$

Long term Asset

Long$-$term Receivables $328,000$

Total Long term Assets $328,000$

Property Plant&Equipment

Equipment $672,000$

Accumulated depreciation$-$Equip $175,000$

Land $70,000$

Total PPE $567,000$

Non$-$ tangible Assets

Patents $15,000$

Total Non tangible Assets $15,000$

Total Assets $1,269,300$

Current liabilities

Accounts payable $124,300$

Interest payable $30,000$

Rent payable $54,000$

Wages payable $5,000$

Total Current Liabilities $213,300$

Long Term Liabilities

Long$-$term notes payable $156,000$

Total Long Term Liabilities $156,000$

Total Liabilities $369,300$

Equity

Common Stock $350,000$

Retained Earnings $537,000$

Total Equity $887,000$

Total Labilities$+$Equity $1,256,300$

I need help figuring out why my balance sheet is not balanced

Answer & Explanation Solved by verified expert

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