The accounts of Gleneagles Company prior to the year-end adjustments follow.

Adjusting data at the end of the year include the following:
a. Unearned service revenue that has been earned, $1,650
b. Accrued service revenue, $32,200
c. Supplies used in operations, $3,100
d. Accrued salary expense, $3,500
e. Prepaid insurance expired, $1,500
f. Depreciation expense€”building, $2,600

Rorie St. Pierre, the principal stockholder, has received an offer to sell Gleneagles Company. He needs to know the following information within one hour:
a. Net income for the year covered by these data
b. Total assets
c. Total liabilities
d. Total stockholders€™ equity
e. Proof that Total assets = Total liabilities + Total stockholders€™ equity after all items are updated

Requirement
Without opening any accounts, making any journal entries, or using a work sheet, provide Mr. St. Pierre with the requested information. The business is not subject to incometax.

Transcribed Image Text:

CashS 7,300 Common stock Accounts receivable.. Supplies. S 14,000 46,000 16,000 7,500 Retained earnings 4,600 Dividends. Prepaid insurance.3,500 Service revenue..161,000 110,000 Salary expense 15,600 building Building Accumulated depreciation- 37,000 Depreciation expense- building. Land. Accounts payable. Salary payabl Unearned service revenue....,50 53,000 Supplies expens. 6,10 Insurance expense . Advertising expense...7,300 Utilities expense..2,000