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a)

E1-15 Prepare income statement and statement of owner's equity. (LO 6) AP Atlantic Cruise Co. is owned by Irina Temelkova. The following information is an alphabetical listing of financial statement items for the company for the year ended May 31, 2017: Accounts payable $ 47,750 Interest expense $ 20,960 Accounts receivable 42,950 Investments by owner 5,847 Advertising expense 3,640 Maintenance expense 82,870 Building 122,570 Notes payable 379,000 Cash 20,080 Other expenses 66,500 Equipment 553,300 Prepaid insurance 1,283 I. Temelkova, capital, June 1, 2016 311,182 Salaries expense 126,950 I. Temelkova, drawings 33,950 Supplies 16,800 Insurance expense 2,566 Ticket revenue 350,640 Instructions Prepare an income statement and a statement of owner's equity for the year. E1-16 Prepare balance sheet. (LO 6) AP Refer to the financial information in E1-15 for Atlantic Cruise Co. at May 31, 2017. Instructions Prepare the balance sheet.BE1-1 Identify users of accounting information. (LOD) K A list of decisions made by different users of accounting information follows: 1. Decide whether the company pays fair salaries. 2. Decide whether the company can pay its obligations. 3. Decide whether a marketing proposal will be cost-effective. 4. Decide whether the company's profit will permit an increase in drawings. 5. Decide how the company should finance its operations. The different users are identified in the table that follows. (a) Insert the number (1-5) of the kind of decision described above that each user would likely make. (b) Indicate whether the user is internal or external. (a) (b) User Kind of Decision Internal or External User Owner Marketing manager Creditor Chief financial officer Labour unionBE1-2 Identify forms of business organization. (LO 2) C Match each of the following forms of business organization with the correct set of characteristics: proprietorship (PP), partnership (P), and corporation (C). (a) Shared control; combined skills and resources (b) Easier to transfer ownership and raise funds; no personal liability; entity pays income tax (c) Simple to set up; owner pays income tax