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Question 2

Prepare a December 31 balance sheet in proper form for Surety Insurance from the following items and amounts:

Commissions earned………..$40,000
Accounts payable……….3,500
Accounts receivable……..5,000
M. Bruno, Capital……..103,500
Office equipment ……..10,000
Advertising expense..3,200
Cash……….7,500
Land……..35,000
Note payable……….50,000
Office supplies……….500
Salaries expense.12,000
Salaries payable……….1,000
Building……………..100,000

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