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The Artisan Wines is a retail store selling vintage wines. On December 31, 2019, the firms general ledger contained the accounts and balances below. All account balances are normal. Artisan Wines Worksheet Year Ended December 31, 2019 Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet Account Name Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Cash $ 28,186.00 $ 28,186.00 $ 28,186.00 Accounts Receivable 480.00 480.00 480.00 Prepaid Advertising 1,200.00 400.00 800.00 800.00 Supplies 280.00 190.00 90.00 90.00 Merchandise Inventory 14,800.00 11,800.00 14,800.00 11,800.00 11,800.00 Store Equipment 24,000.00 24,000.00 24,000.00 Accumulated DepreciationStore Equipment 2,800.00 3,075.00 5,875.00 5,875.00 Office Equipment 4,800.00 4,800.00 4,800.00 Accumulated DepreciationOffice Equipment 1,480.00 980.00 2,460.00 2,460.00 Notes Payable, due 2020 19,000.00 19,000.00 19,000.00 Accounts Payable 2,505.00 2,505.00 2,505.00 Wages Payable 500.00 500.00 500.00 Social Security Tax Payable 31.00 31.00 31.00 Medicare Tax Payable 7.25 7.25 7.25 Unearned Seminar Fees 5,400.00 3,600.00 1,800.00 1,800.00 Interest Payable 95.00 95.00 95.00 Vincent Arroyo, Capital 33,960.00 33,960.00 33,960.00 Vincent Arroyo, Drawing 13,910.00 13,910.00 13,910.00 Income Summary 14,800.00 11,800.00 14,800.00 11,800.00 14,800.00 11,800.00 Sales 151,970.00 151,970.00 151,970.00 Sales Discounts 180.00 180.00 180.00 Seminar Fee Income 3,600.00 3,600.00 3,600.00 Purchases 90,000.00 90,000.00 90,000.00 Purchases Returns and Allowances 980.00 980.00 980.00 Freight In 205.00 205.00 205.00 Rent Expense 13,000.00 13,000.00 13,000.00 Wages Expense 23,800.00 500.00 24,300.00 24,300.00 Payroll Taxes Expense 3,124.00 38.25 3,162.25 3,162.25 Depreciation ExpenseStore Equipment 3,075.00 3,075.00 3,075.00 Depreciation ExpenseOffice Equipment 980.00 980.00 980.00 Advertising Expense 400.00 400.00 400.00 Supplies Expense 190.00 190.00 190.00 Interest Expense 130.00 95.00 225.00 225.00 Totals $ 218,095.00 $ 218,095.00 $ 35,478.25 $ 35,478.25 $ 234,583.25 $ 234,583.25 $ 150,517.25 $ 168,350.00 $ 84,066.00 $ 66,233.25 Net Income 17,832.75 17,832.75 $ 168,350.00 $ 168,350.00 $ 84,066.00 $ 84,066.00 Required: Prepare a classified income statement for the year ended December 31, 2019. The company does not classify its operating expenses as selling expenses and general and administrative expenses. Prepare a statement of owners equity for the year ended December 31, 2019. No additional investments were made during the year. Prepare a classified balance sheet as of December 31, 2019. Analyze: What is the inventory turnover for Artisan Wines?
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