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10.00 points On December 31, Fawal Company prepared an income statement and balance sheet and failed to take into account four adjusting entries. The income
10.00 points On December 31, Fawal Company prepared an income statement and balance sheet and failed to take into account four adjusting entries. The income statement, prepared on this incorrect bass, vected preta Income of $73.000. The balance sheet before the effect of income taxes) reflected totale $173,000 total liabilities. 80.000and stockholders' equity, 584,000. The data for the four wingers low a. Wagos amounting to $20,000 for the last three days of December were not paid and not recorded the next payroll will be at the beginning of next your) b. Depreciation of $13,000 for the year on equipment that cost $173,000 was not recorded. Rent revenue of $10,800 was collected on December 1 of the current year for omto space for the period December 1 10 February 28 of the next year. The $10,000 was created in tali to neared Rent d. Income taxes were not recorded. The income tax rate for the company is 30 percent Required: Complete the following tabulation to correct the francial statements for the effects of the four errors. (Amounts to be deducted should be indicated with a minus sign) Net Income Total Assets Total Stockholders' Liabilities Equity $ 73,000 $ 173,000 $ 89,000 $ 84.000 D Items Balances reported Additional adjustments Wages Depreciation Rent revenue Adjusted balances Income taxes Correct balances d
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