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McGuire Corporation began operations in 2 0 2 4 . The company purchases computer equipment from manufacturers and then sells to retail stores. During 2
McGuire Corporation began operations in The company purchases computer equipment from manufacturers and then sells to retail stores. During the bookkeeper used a check register to record all cash receipts and cash disbursements. No other journals were used. The following is a recap of the cash receipts and disbursements made during the year.
Cash receipts:
Issue of common stock $
Collections from customers
Borrowed from local bank on April note signed requiring principal and interest at to be paid on March
Total cash receipts $
Cash disbursements:
Purchase of inventory $
Payment of salaries
Purchase of office equipment
Payment of rent on building
Miscellaneous expense
Total cash disbursements $
You are called in to prepare financial statements on December The following additional information was provided to you:
Customers owed the company $ at yearend.
At yearend, $ was still due to suppliers of inventory purchased on credit.
At yearend, inventory costing $ still remained on hand.
Salaries owed to employees at yearend amounted to $
On December $ in rent was paid to the owner of the building used by McGuire. This represented rent for the months of December through February.
The office equipment, which has a tenyear life and no salvage value, was purchased on January Straightline depreciation is used.
Required:
Prepare an income statement for and a balance sheet as of December
please help me get the correct answer
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