Answer
Classified Balance Sheet Total = $ 214,200. Two important point to note;
(i) Calculation of closing retained earnings (see working below)
(ii) Separation of current and non current portion of Notes Payable.
Work Step by Step
Make sure to calculate closing retained earnings since the balance given in question is opening balance.
Revenue 14,180
Insurance (780)
Depreciation (5,300)
Interest (2,600)
Net Profit 5,500
Retained earnings opening balance (01 Jan 2010) = 40,000
Add profit for the year 5,500
Retained earnings (31 Dec 2010) 45,500
