Your charge is to prepare (a) an income statement, (b) statement of retained ear
ID: 2484082 • Letter: Y
Question
Your charge is to prepare (a) an income statement, (b) statement of retained earnings, and (c) a balance sheet for 2016 year end.
Account Title
Accounts payable
10,000
Accounts Receivable
18,000
Cash
12,200
Common Stock
4,800
Dividends
4,800
Land
38,000
Long term note payable
19,000
Marketing expense
1,200
Mileage expense
2,600
Miscellaneous expense
260
Office supplies
690
Prepaid insurance
2,500
Retained earnings (beginning)
6,450
Salary expense
40,000
Transport revenue
80,000
Account Title
Accounts payable
10,000
Accounts Receivable
18,000
Cash
12,200
Common Stock
4,800
Dividends
4,800
Land
38,000
Long term note payable
19,000
Marketing expense
1,200
Mileage expense
2,600
Miscellaneous expense
260
Office supplies
690
Prepaid insurance
2,500
Retained earnings (beginning)
6,450
Salary expense
40,000
Transport revenue
80,000
Explanation / Answer
Solution:
1.
2.
3.
Income Statement Transport Revenue 80,000 Less: Mileage expense 2,600 Marketing expense 1,200 Miscellaneous expense 260 Salary expense 40,000 Net income 35,940Related Questions
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