Angela Lopez owns and manages a consulting firm called Metrix, which began operations on December 1. On
Question:
Angela Lopez owns and manages a consulting firm called Metrix, which began operations on December 1. On December 31, Metrix shows the following selected accounts and amounts for the month of December.
Required
1. Prepare a December income statement for the business.
2. Prepare a December statement of owner’s equity. The A. Lopez, Capital account balance at December 1 was $0, and the owner invested $11,600 cash in the company on December 2.
3. Prepare a December 31 balance sheet. Hint: Use the A. Lopez, Capital account balance calculated in part 2.
Accounts payable...... Notes payable. . Cash $8,000 $ 1,300 Rental revenue.. $ 500 ......... Accounts receivable.. 3,500 2,400 Salaries expense 3,000 Rent expense .. Advertising expense.. Utilities expense.. Notes receivable 2,500 Unearned revenue. 300 2,000 Office supplies . 1,500 A. Lopez, Capital. .. 11,600 400 Prepaid insurance 1,000 A. Lopez, Withdrawals 2,000 200 Equipment... 4,000 Consulting revenue ... 12,000
Step by Step Answer:
Part 1 Part 2 Part 3 Revenues Consulting revenue Rental...View the full answer
Related Video
Unearned revenue is money received by an individual or company for a service or product that has yet to be provided or delivered. It can be thought of as a \"prepayment\" for goods or services that a person or company is expected to supply to the purchaser at a later date. As a result of this prepayment, the seller has a liability equal to the revenue earned until the good or service is delivered. This liability is noted under current liabilities, as it is expected to be settled within a year.
Students also viewed these Business questions
-
Victoria Rivera owns and manages a consulting firm called Prisek, which began operations on July 1. On July 31, the companys records show the following selected accounts and amounts for the month of...
-
On December 31, 20, the following selected accounts and amounts appeared on the balance sheet for Duncan Company. Determine the amount of the working capital and the current ratio. (Round to two...
-
The following selected accounts and account balances were taken from the records of Bates Company. Except as otherwise indicated, all balances are as of December 31, 2013, before the closing entries...
-
What does the following code fragment print? String \(s=\) "He11o World"; s. toUpperCase(); s. substring (6, 11); StdOut.println(s);
-
A steam power plant has high and low pressures of 20 MPa and 10 kPa, and one open feedwater heater operating at 1 MPa with the exit as saturated liquid. The maximum temperature is 800C and the...
-
Medical records are maintained for the benefit of patients and are considered the property of the healthcare provider. Patients, providers of care, and third parties such as insurance carriers...
-
Purple Company, whose current assets at December 31 are shown in Exercise E13-6B, had net sales for the year of \(\$ 580,000\) and cost of goods sold of \(\$ 339,000\). At the beginning of the year,...
-
Sams Long Life 75-watt light bulbs are designed to have a life of 1125 hours with tolerances of 210 hours. The process that makes light bulbs has a mean of 1050 hours, with a standard deviation of 55...
-
Dog Up! Franks is looking at a new sausage system with an installed cost of $526,119. This cost will be depreciated straight-line to 75,418 over the project's 7-year life, at the end of which the...
-
Lossy dielectric between spherical electrodes. Consider a spherical capacitor with the region between the inner and outer electrodes filled with lossy material with permittivity eo and conductivity...
-
Open a ledger account for Cash in balance column format. Post general journal entries that impact cash from Exercise 2-9 to the ledger account for Cash, and enter the balance after each posting. Data...
-
Key comparative figures for Apple, Google, and Samsung follow. Required 1. Compute Samsungs debt ratio for the current year and prior year. 2. Did Samsungs financial leverage increase or decrease in...
-
Income taxes are calculated based on gross income less certain allowable deductions. They are also assessed on gains resulting from the disposal of property. In 10 words or less, define (appropriate...
-
What is the risk on different financial assets and what is affecting their risk? How many different bonds and stocks exist in our financial markets? What do you think that are the most important...
-
Geico insurance issued a 10 year bond with an annual coupon of 11%. what is the value of this bond assuming a required rate of return of 7.02%?
-
How many dependents can be claimed by a married couple, ages 46 and 48, filing a joint return, who provided over half the support for their daughter, age 25, and grandson, age 2? The daughter had...
-
What strategic approaches can executives employ to foster a culture of empowerment and autonomy, thereby enhancing employee engagement and driving sustainable performance outcomes ?
-
You are Leroys accountant, and he has asked you to explain to him how Pierce Motor Services should account for the three vehicles and the loan from his good friend. ( In your answer you must provide...
-
Provide statements that identify the type I error and the type II error that correspond to the given claim. (Although conclusions are usually expressed in verbal form, the answers here can be...
-
Chicago Company sold merchandise to a customer for $1,500 cash in a state with a 6% sales tax rate. The total amount of cash collected from the customer was $558. $600. $642. $636. Nevada Company...
-
Access the March 1, 2017, filing of the December 31, 2016, annual 10-K report of McDonalds Corporation(ticker: MCD), which is available from SEC.gov. Required 1. Identify the current liabilities on...
-
Fae and Carley had a tech business. After two unprofitable years, the business closed. At that point, the liabilities of the business were $100,000 larger than its assets. Under each separate...
-
Stolton and Bright are partners in a business they started two years ago. The partnership agreement states that Stolton should receive a salary allowance of $15,000 and that Bright should receive a...
-
Suppose your firm is considering Investing in a project with the cash flows shown below, that the required rate of return on projects of this risk class is 10 percent, and that the maximum allowable...
-
The Dauten Toy Corporation currently uses an injection molding machine that was purchased prior to the new tax legislation. This machine is being depreciated on a straight-line basis, and it has 6...
-
On January 1, 2024, Blue Co. enters into a contract to lease medical equipment from Green Co. for 5 years. Green Co. puts the patient-monitoring equipment in Blue Co.'s premise. The equipment...
Study smarter with the SolutionInn App