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Question 1
Marsh Corporation began operations on January
1, 2014. The following information is available for
Marsh Corporation on December 31, 2014.
Accounts
payable
$ 7,580 $ 12,160
payable

2. Accounts
receivable
4,580Rent
12,580
expense
Advertising
expense
Retained
earnings
?■
Cash 5,680
Service
revenue
30,160
Common
stock
17,580 Supplies 4,480
Dividends 5,080
Supplies
expense
Equipment 29,380
1,380
mt.co
mPrepare an income statement for Marsh
Corporation.
Prepare a retained earnings statement for
Marsh Corporation. (List items that increase
retained earnings first.)
Prepare a balance sheet for Marsh Corporation.
(List assets in order of liquidity.)

3. Question 2
The Clear View Golf & Country Club details the
following accounts in its financial statements.
(a) Classify each of the following accounts as an
asset, liability, stockholders' equity, revenue, or
expense item.
(b) Classify each of the following accounts as a
financing activity, investing activity, or operating
activity.
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Question 3
This information relates to Molina Co. for the year
2014.
Retained earnings,
January 1, 2014
$75,703
Advertising
expense
2,034
Dividends 6,779
Rent expense 11,751

4. Service revenue
65,534
Utilities expense 2,712
Salaries and wages ^ ^ OQ_33,897
expense
After analyzing the data, prepare an income
statement for the year ending December 31,
2014.
After analyzing the data, prepare a retained
earnings statement for the year ending December
31, 2014. (List items that increase retained
earnings first.)
Question 4
For each of the following events affecting the
stockholders' equity of Noland, indicate whether
the event would: increase retained earnings,
decrease retained earnings, increase common
stock, or decrease common stock.
Question 5

5. The statement of financial position for Ruiz
Company includes the following accounts (in
British pounds): Accounts Receivable £12,500;
Prepaid Insurance £3,600; Cash £15,400; Supplies
£5,200; and Debt Investments (short-term)
£6,700. Prepare the current assets section of the
statement of financial position, listing the accounts
in proper sequence. (List current assets in reverse
order of liquidity. Do not enter currency symbols
in your answer.)
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6. The statement of financial position for Ruiz
Company includes the following accounts (in
British pounds): Accounts Receivable £12,500;
Prepaid Insurance £3,600; Cash £15,400; Supplies
£5,200; and Debt Investments (short-term)
£6,700. Prepare the current assets section of the
statement of financial position, listing the accounts
in proper sequence. (List current assets in reverse
order of liquidity. Do not enter currency symbols
in your answer.)
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