=+Chapter 1 Introduction to Accounting and Business 41 Accounts payable $ 6,250 Rent expense $12,500 Accounts receivable 21,150 Supplies 1,350 Cash 90,000 Supplies expense 1,400 Fees earned 125,000 Utilities expense 9,100 Miscellaneous expense 750 Wages expense 32,500 Instructions 1. Prepare an income statement for the current year ended December 31, 2010.

2. Prepare a statement of owner’s equity for the current year ended December 31, 2010.

3. Prepare a balance sheet as of December 31, 2010.

✔ 1. Net income:

$68,750