Question

Prepare the balance sheet for Damon Design Studio as of December 31, 2018

Short answer

Wilson Towing Service
Balance Sheet
December 31, 2018
Assets	Liabilities
Cash	$3,200	Accounts Payable	$3,600
Office Supplies	5,100	Notes Payable	14,000
Accounts Receivable	9,300	Total Liabilities	17,600
Office Furniture	48,400	Stockholders’ Equity
		Common Stock	13,000
		Retained Earnings	35,400
		Total Stockholders’ Equity	48,400
Total Assets	$66,000	Total Liabilities and Stockholders’ Equity	$66,000

Step-by-step solution

Step-by-Step-SolutionStep 1: Explanation on Balance Sheet

Balance sheet represents the balances of assets, liabilities, and owners’ equity for the particular accounting period.

Details of balance sheet

In the balance sheet, total assets equals $66,000, total liabilities equals $17,600, and total stockholders’ equity equals $48,400.