financial balance sheet

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Trial Balance

South Shore Medical Clinic
Trial Balance
December 31, 20X3
Debit Credit
Cash $ 50,000
Accounts Receivable 55,000
Supplies 10,000
Inventory 40,000
Equipment 75,000
Building 150,000
Accounts Payable $ 25,000
Current Portion - Long Term Debt 35,000
Long Term Debt, net of Current Portion 100,000
Owner's Equity 200,000
Service Fee Revenue 125,000
Salaries Expense 78,500
Rent Expense 24,000
Utilities Expense 2,500
Totals $ 485,000 $ 485,000

Income Statement

Task #1: Using the Trial Balance, prepare an Income Statement.
South Shore Medical Clinic
Income Statement
For the year ending December 31, 20X3
Revenues:
Service Fee Revenue
Total Revenues
Expenses:
Salaries Expense
Rent Expense
Utilities Expense
Total Expenses
Income:
Net Income

Balance Sheet

Task #2: Using the Trial Balance, enter the appropriate amounts for each account. Classify each as an Asset, Liability, or Equity account then specify if they are current or non-current.
Account Account Balance Type of Account Current/NonCurrent Asset Current
Cash Liability Non-current
Inventory Equity Either
Supplies
Building
Equipment
Accounts Receivable
Accounts Payable
Current Portion - Long Term Debt
Long Term Debt, net of Current Portion
Owner's Equity
Task #3: Once complete, prepare a Balance Sheet listing the accounts and account balances in the appropriate order. (Keep in mind that Net Income Increases the Owner's Equity Account).
South Shore Medical Clinic
Balance Sheet
December 31, 20X3
ASSETS LIABILITIES & NET WORTH
Current Assets Current Liabilities
Cash Accounts Payable
Accounts Receivable Current Portion - Long Term Debt
Supplies Total Current Liabilities
Inventory
Total Current Assets Non-current Liabilities
Long Term Debt, net of Current Portion
Non-current Assets Total Non-Current Liabilities
Equipment
Building NET WORTH
Total Non-current Assets Owner's Equity $ 200,000
TOTAL ASSETS TOTAL LIABILITIES & NET WORTH

Questions

Questions:
1. Briefly describe whether or not you think this company is profitable.
2. Is the company collecting enough in revenue to cover their expenses?
3. Comment on any suggestions you might have for the company's owners.