The completed financial statement columns of the work sheet for Edgemont Entertainment Solutions are as follows:

Instructions
(a) Prepare an income statement, statement of owner's equity, and a classified balance sheet. M.Edgemont made an additional investment in the business of $4,000 during 2017. The investment has been recorded and it is included in the capital account.
(b) Prepare the closing entries.
(c) Post the closing entries.
(d) Prepare a post-closing trial balance.
Taking It Further
Define current assets and explain how current assets are typically arranged within the current assets section of the balance sheet.

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EDGEMONT ENTERTAINMENT SOLUTIONS Work Sheet For the year ended December 31, 2017 Income Statement Balance Sheet Account Titles Cash Accounts receivable Prepaid insurance Equipment r. Cr. r. 6,200 7,500 1,800 33,000 r. Accumulated depreciation-equipment Accounts payable M. Edgemont, capital 8,600 14,700 34,000 M. Edgemont, drawings 7,200 46,000 Service revenue Depreciation expense Insurance expense Salaries expense Utilities expense 2,800 1,200 39,600 4,000 47,600 46,000 1,600 Totals 55,70057,300 Net loss 1,600 57,300 57,300 47,600 47,600