1. The following accounts appear in the ledger of Sheldon Companyon January 31, the end of this fiscal year.

   Cash	$16,400
   Accounts Receivable	15,100
   Merchandise Inventory	55,500
   Store Supplies	1,603
   Prepaid Insurance	3,080
   Store Equipment	24,900
   Accumulated Depreciation, Store Equipment	3,860
   Accounts Payable	14,400
   M. E. Sheldon, Capital	126,484
   M. E. Sheldon, Drawing	36,000
   Sales	227,000
   Sales Returns and Allowances	2,000
   Purchases	172,000
   Purchases Returns and Allowances	2,375
   Purchases Discounts	3,567
   Freight In	7,491
   Wages Expense	24,800
   Advertising Expense	5,912
   Rent Expense	12,900

   The data needed for adjustments on January 31 are asfollows:

   a-b. Merchandise inventory, January 31, $55,750.

      c. Insurance expired for the year, $1,285.

      d. Depreciation for the year, $5,482.

      e. Accrued wages on January 31, $1,556.

      f. Supplies used during the year $1,503.

   Required:

   Prepare a work sheet for the fiscal year ended January 31. If anamount box does not require an entry, leave it blank. Enter allnumbers as positive values.

   Sheldon Company
   Work Sheet
   For Year Ended January 31,20--
   		TRIAL BALANCE		ADJUSTMENTS		INCOME STATEMENT		BALANCE SHEET
   	ACCOUNT NAME	DEBIT	CREDIT	DEBIT	CREDIT	DEBIT	CREDIT	DEBIT	CREDIT
   1	Cash									1
   2	Accounts Receivable									2
   3	Merchandise Inventory									3
   4	Store Supplies									4
   5	Prepaid Insurance									5
   6	Store Equipment									6
   7	Accumulated Depreciation, Store Equipment									7
   8	Accounts Payable									8
   9	M. E. Sheldon, Capital									9
   10	M. E. Sheldon, Drawing									10
   11	Sales									11
   12	Sales Returns and Allowances									12
   13	Purchases									13
   14	Purchases Returns and Allowances									14
   15	Purchases Discounts									15
   16	Freight In									16
   17	Wages Expense									17
   18	Advertising Expense									18
   19	Rent Expense									19
   20										20
   21	Income Summary									21
   22	Insurance Expense									22
   23	Depreciation Expense, Store Equipment									23
   24	Wages Payable									24
   25	Store Supplies Expense									25
   26										26
   27	Net Income (Loss)									27
   28										28
   29										29

   Prepare an income statement.

   Sheldon Company
   Income Statement
   For Year Ended January 31, 20--
   Revenue from Sales:
   			$
   Net Sales				$
   Cost of Goods Sold:
   		$
   	$
   Net Purchases		$
   			$
   				$
   Operating Expenses:
   			$
   Total Operating Expenses
   Net Loss

   Prepare a statement of owner's equity. No additional investmentswere made during the year.

   Sheldon Company
   Statement of Owner's Equity
   For Year Ended January 31, 20--
   		$
   	$
   		$

   Prepare a balance sheet.

   Sheldon Company
   Balance Sheet
   January 31, 20--
   Assets
   Current Assets:
   	$
   Total Current Assets		$
   Property and Equipment:
   	$
   Total Assets		$
   Liabilities
   Current Liabilities:
   	$
   Total Liabilities		$
   Owner's Equity
   Total Liabilities and Owner's Equity		$