Bank Rec StatementWarren Sports SupplyBank Reconciliation StatementDec-13Bank StatementGeneral Ledger

Unadjusted balance, 12-31-2013$123,414.03$96,582.54

AddDeposit in Transit$40,999.51

DeductOutstanding ChecksAmount$4,800.00$483.00$17,973.20$2,857.89$1,851.42$1,585.82$1,100.00$10,000.00$4,490.00$1,985.21$4,800.00$8,000.00$(59,926.54)

AdjustmentsDeposit made on 12-14-13$(7,931.96)Bank Service Charges$(27.50)

Adjusted Balance 12-31-2013$96,555.04$96,555.04

Year End WorksheetAcct NoAccount Title12-31-12 Post Closing Trial Balance12-31-12 Unadjusted Trial BalanceAdjustmentsAdjusted Trial BalanceIncome StatementBalance SheetDebitCreditDebitCreditDebitCreditDebitCreditDebitCreditDebitCredit10100Cash$11,025.19$96,555.04$96,555.04$96,555.0410200Accounts Recievable$11,065.00$45,522.00$45,522.00$45,522.0010210Accounts Recievable from Employees$300.00$300.00$300.0010300Allowance for Doubtful Accounts$3,250.81$1,149.19$3,795.44$2,646.25$2,646.2510400Inventory$101,681.00$101,681.00$91,625.00$193,306.00$193,306.0010500Prepaid Expenses$4,000.00$4,000.00$4,000.0010600Marketable Securities$25,280.00$25,280.00$25,280.0010700Interest Recievable10800Fixed Assets$320,665.00$331,590.00$331,590.00$331,590.0010900Accumulated Depreciation$81,559.50$80,559.50$35,109.50$115,669.00$115,669.0011000Notes Recievable$8,000.00$8,000.00$8,000.00

20100Accounts Payable$11,279.35$8,767.15$8,767.15$8,767.1520200Wages and Salaries Payable20300Federal Income taxes witheld$1,326.76$1,706.65$1,706.65$1,706.6520400State Unemployment Taxes Payable$281.17$87.93$87.93$87.9320500Federal Unemployment taxes Payable$83.31$26.05$26.05$26.0520600F.I.C.A taxes Payable$1,593.30$2,236.66$2,236.66$2,236.6620700Federal Income taxes Payable$29,797.00$53,116.40$53,116.40$53,116.4020800Dividends Payable$6,750.00$6,750.00$6,750.0020900Interest Payable$197.26$197.26$197.2621000Notes Payable$70,000.00$70,000.00$70,000.0021100Unearned Revenue$3,600.00$3,600.00$3,600.00

26000Common Stock$225,000.00$225,000.00$225,000.00$225,000.0027000Paid in Capital in excess of par28000Income Summary29000Retained Earnings$90,264.99$90,264.99$90,264.99$90,264.9929010Dividends Declared$6,750.00$6,750.00$6,750.00

30100Sales$1,594,818.50$1,594,818.50$1,594,818.5030200Sales Returns and Allowances$61,111.00$61,111.00$61,111.0030300Sales discount taken$15,530.77$15,530.77$15,530.7730400Costs of Good Sold$1,029,877.29$1,029,877.29$1,029,877.2930500Purchases$1,132,955.00$1,132,955.000.030600Purchases return and allowances$19,445.00$19,445.000.030700Purchases duscount taken$16,650.40$16,650.400.030800Freight-In$24,642.69$24,642.690.0

30900Gain/Loss on Sale of Fixed Assets$300.00$300.00$300.0031000Gain/Loss on Sale of Marketable Securities$770.00$770.00$770.0031100Interest/Dividend Income$1,200.00$1,200.00$1,200.0031200Miscellaneous Revenue$825.00$825.00$825.00

40100Rent Expenses$57,600.00$57,600.00$57,600.0040200Advertising Expenses$21,905.00$21,905.00$21,905.0040300Office Supplies Expenses$5,621.45$5,621.45$5,621.4540400Depreciation Expense$35,109.50$35,109.50$35,109.5040500Wages and Salaries Expenses$141,198.14$141,198.14$141,198.1440600Payroll Tax Expense$11,528.80$11,528.80$11,528.8040700Federal Income Tax Expense$53,116.40$53,116.40$53,116.4040800Interest Payable$197.26$197.26$197.2640900Bad Debt Expense$3,795.44$3,795.44$3,795.4441000Other Operation Expense$30,087.75$30,087.75$30,087.75TOTALS$444,436.19$444,436.19$2,123,007.83$2,123,007.83$1,249,816.29$1,249,816.29$2,177,981.84$2,177,981.84$1,466,678.80$1,597,913.50$711,303.04$580,068.34Net Income (Loss)$131,234.70$131,234.70TOTALS$444,436.19$444,436.19$2,123,007.83$2,123,007.83$1,249,816.29$1,249,816.29$2,177,981.84$2,177,981.84$1,597,913.50$1,597,913.50$711,303.04$711,303.04

Income StatementWAREN SPORTS SUPPLYSTATEMENT OF INCOME AND RETAINED EARNINGSFor the Year Ended December 31, 2009

RevenueSales$1,594,818.50Less:Sales Returns and Allowances$61,111.00Less: Sales discount taken$15,530.77Net Sales$1,518,176.73Cost of Goods SoldBeginning Inventory$101,681.00Net Purchases$1,132,955.00Freight In$24,642.69Goods Available for Sale$1,259,278.69Less Ending Inventory$193,306.00Purchases return and allowances$19,445.00Purchases duscount taken$16,650.40Cost of Goods Sold$1,029,877.29

Gross margin$488,299.44

Operating ExpensesRent Expenses$57,600.00Advertising Expenses$21,905.00Office Supplies Expenses$5,621.45Depreciation Expense$35,109.50Wages and Salaries Expenses$141,198.14Payroll Tax Expense$11,528.80Bad Debt Expense$3,795.44Other Operation Expense$30,087.75Total Operating Expenses$306,846.08

Operating Income$181,453.36

Non Operating Other IncomeOther Income$3,095.00

Other Expense: Interest Payable$197.26

Income Before Taxes$184,351.10

Federal Income Tax$53,116.40

Net Income$131,234.70

Retained Earning Beganing of the year$90,264.99

Retained Earnings End of the Year$221,499.69

Earnings Per Coommon Share$43.74

Dividends Declared on 3000 Shares @ 2.25 each$6,750.00

Balance SheetWAREN SPORTS SUPPLYBALANCE SHEETAT DECEMBER 31, 2009

ASSETSCURRENT ASSETSCASH$96,555.04Accounts Recievable - Less Allowance for DA$43,175.75Inventory$193,306.00Prepaid Expenses$4,000.00Marketable Securities$25,280.00Total Current Assets$362,316.79

Fixed Asset - Net of Depreciation$215,921.00Notes Reciavable$8,000.00Total Fixed Assets$223,921.00

Total Assets$586,237.79

LIABILITIES AND STOCKHOLDERS EQUITYCURRENT LIABILITIESAccounts Payable$8,767.15Payroll Taxes Witheld and Payable$4,057.29Federal Income Tax Payable$53,116.40Dividends Payable$6,750.00Interest Payable$197.26Total Current Liabilities$72,888.10

Note Payable$70,000.00Unearned Revenue$3,600.00

Total Liabilities$146,488.10STOCKHOLDERS EQUITYCommon Stock$225,000.00Retained Earnings$221,499.69Dividends Declared$6,750.00Total Stockholders Equity$439,749.69

Total Liabilities and Stockholders Equity$586,237.79