@ 2012, Cengage Learning Accounting for Merchandising Businesses LO 2b - Preparing a Balance Sheet for a Merchandising Business

Balance Sheet  The form of balance sheet with the assets on the left-hand side and the liabilities and owner’s equity on the right-hand side is called the account form. LO 2

Balance Sheet  When the balance sheet is presented in a downward sequence in three sections, it has been prepared using the report form. This is the form used in the next two slides. LO 2

Balance Sheet (continued)

LO 2 Balance Sheet (continued)

LO 2 Balance Sheet (continued)

LO 2 Balance Sheet (continued)

LO 2 Balance Sheet

LO 2 Balance Sheet

LO 2 Balance Sheet

LO 2 Balance Sheet