The adjusted trial balance of Martinez Advertising Services, at December 31, 2024, follows. This is the first year of operations

Requirements 

1. Prepare the income statement for the year ended December 31, 2024.

2. Prepare the statement of retained earnings for the year ended December 31, 2024.

3. Prepare the classified balance sheet at December 31, 2024. Use the report form. 

4. Calculate the current ratio at December 31, 2024.

5. Journalize and post the closing entries. Indicate the balance of the Retained Earnings account after the closing entries are posted.

6. Prepare a post-closing trial balance at December 31, 2024. 

Transcribed Image Text:

MARTINEZ ADVERTISING SERVICES Adjusted Trial Balance December 31, 2024 Account Title Cash Accounts Receivable Office Supplies Land Building Accumulated Depreciation-Building Furniture Accumulated Depreciation-Furniture Accounts Payable Salaries Payable Unearned Revenue Notes Payable (long-term) Common Stock Dividends Service Revenue salaries Expense Supplies Expense Depreciation Expense-Building Depreciation Expense-Furniture Advertising Expense Total Balance Debit $ 6,000 6,300 200 10,000 42,000 8,000 25,000 16,500 800 1,000 2,000 3,000 $ 120,800 Credit $ 24,000 6,000 2,000 500 5,000 7,000 12,000 64,300 $ 120,800