Ryan\'s Repair Services Balance Sheet Dec 10, 2016 Ph1450 Electrical Supplies 31
ID: 2560864 • Letter: R
Question
Ryan's Repair Services Balance Sheet Dec 10, 2016 Ph1450 Electrical Supplies 310 Delivery Van4200 Ph5960 Accounts Payable Ph260 CC Finance, Inc. 3200 Ryan, Capital 2500 Ph5960 Cash 2 Listed below are the ledger accounts of Nina's TV Rental Enterprise with balances as at Sept 30, 017. Prepare an income statement for the quarter ended September 30, 2017 and a balance sheet as of this date Television sets-Ph20000; Cash-Ph9000; Accounts payable-Ph600: Accounts Receivable Ph500; Delivery van-Phe00, Revenue from Rentals-m10000; Nina dela Cuesta, Capital Deprcation Expense, TV sets-Ph,1000, Accumulated Depreciation, TV Sets-Ph.2000 Depreciation Expense, Delivery Van-Ph400, Accumulated Depreciation, Delivery Van-Ph3000,Explanation / Answer
2.
Income statement: This is the statement of all revenues and all recurring expenses in order to get net income.
Income statement
For the ending quarter 30/09/2017
Heads
Amount $
Amount $
Revenue
10,000
Total revenues
10,000
Expenses:
Depreciation expense – TV
1,000
Depreciation expense – Van
400
Total expenses
1,400
Net income
8,600
Balance sheet: This is picture of financial position of an enterprise till date.
Balance sheet
As at 30/09/2017
Assets
$
$
Liabilities and capital
$
$
Fixed assets:
Capital (Note 1)
32,000
Television
20,000
Accumulated dep.
(2,000)
Accounts payable
500
Television (Net)
18,000
Delivery van
8,000
Accumulated dep.
(3,000)
Delivery van (Net)
5,000
Total fixed assets
23,000
Current assets:
Accounts receivable
500
Cash
9,000
Total current assets
9,500
Total assets
32,500
Total liabilities & capital
32,500
Note 1: Capital includes net income (8,600) and owner’s investment. This would appear as a balancing figure as below:
Capital = Total assets – Accounts payable
= 32,500 – 500
= 32,000
Heads
Amount $
Amount $
Revenue
10,000
Total revenues
10,000
Expenses:
Depreciation expense – TV
1,000
Depreciation expense – Van
400
Total expenses
1,400
Net income
8,600
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.