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ADJUSTED TRIAL BALANCE

Little Corporation

Adjusted Trial Balance

December 31, 2018

Assume that 30% of the depreciation expense is related to automobiles used exclusively by the sales staff to make sales calls to customers. Also assume that 20% of the insurance expense is related to these same vehicles.

Instructions: Prepare a multiple-step income statement in proper form.

ADJUSTED TRIAL BALANCE Little Corporation Adjusted Trial Balance December 31, 2018 Debit Credit Cash Rent Expense Accounts Receivable Office Equipment Accumulated Depreciation Accounts Payable Depreciation Expense Common Stock Interest Revenue Office Salaries Expense Retained Earnings Sales Sales Discounts Forfeited Cost of Goods Sold Insurance Expense Merchandise Inventory Salaries Payable Dividends Sales Salaries Expense Delivery Expense Interest Expense $23,600 15,600 31,600 66,000 $18,400 37,600 5,600 17,000 1,600 45,100 6,000 381,200 2,000 206,400 5,600 19,200 2,500 5,600 35,400 2,600 4000_ Total $466.300 $466,300 Assume that 30% of the depreciation expense is related to automobiles used exclusively by the sales staff to make sales calls to customers. Also assume that 20% of the insurance expense is related to these same vehicles. Instructions: Prepare a multiple-step income statement in proper form. Bring your answer to class on Thursday, October 17, 2018

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