Req. 1 Requirements 1. Prepare Gate City Answering Service income statement. Pre

Question

Req. 1

Requirements 1. Prepare Gate City Answering Service income statement. Presented here are the accounts of Gate City Answering Service for the year ended December 31, 2012. Land $ 8,000 Owner investment, 2012 $ 28,000 Note payable 32,000 Accounts payable 11,000 Property tax expense 2,600 Accounts receivable 1,000 Wayne, drawing 30,000 Advertising expense 15,000 Rent expense 13,000 Building 145,200 Salary expense 65,000 Cash 3,000 Salary payable 1,300 Equipment 16,000 Service revenue 192,000 Insurance expense 2,500 Supplies 10,000 Interest expense 7,000 Waynce, capital, 12/31/2011 54,000

Req. 1

Gate City Answering Service Income Statement Year Ended December 31, 2012 Revenue: Service revenue $ 192,000 Expenses: Insurance expense Total expenses - Net income $ 192,000

Explanation / Answer

Services & Revenue 192,000 Expenses: Property tax expense 2,600 Advertising expense 15,000 Rent expense 13,000 Salary expense 65,000 Insurance expense 2,500 Interest expense 7,000 Total Expenses 105,100 Net Income 86,900

Related Questions

Navigate

• Browse (All)
• Browse R
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.