These financial statement items are for Stasik Corporation at year-end, July 31, 2001:

Instructions

(a) Prepare an income statement and a retained earnings statement for the year. Stasik Corporation did not issue any new stock during the year.

(b) Prepare a classified balance sheet at July 31.

Transcribed Image Text:

Salaries expense Utilities expense $54,700 24,900 Equipment 15,900 Accounts payable 6,220 Commission revenue 61,100 Rent revenue 8,500 Unearned rent revenue 1,800 Common stock 16,000 Cash 21,940 Accounts receivable 8,780 Accumulated depreciation 5,400 Dividends 4,000 Depreciation expense 4,000 Retained earnings (beginning of the year) 35,200