Accounting Problem
Instructions
Refer to Part 1 - 3.png, Using that information. Please fill out the Income Statement for the year-ended December 31, 2020 (all adjustments for the year-end have already been made)
Trial Balance Unadjusted Trial Balance Adjusted At December 31, 2019 At December 31, 2020 Adjustments Trial Balance Income Statement Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Cash & Equivalents 98,641 1,191,277 2,457,500 3,660,699 11,922 FV-NI Investments 400,650 28,600 429,250 Accounts Receivable - Trade 2,069,111 1,908,886 1,908,886 Accounts Receivable - Projects 1,155,000 1,155,000 Other Accounts Receivable 3,646,372 2,357,036 1,289,336 Interest Receivable 583 583 Allowance for Doubtful Accounts 63,254 63,254 12,036 23,696 74,914 Inventory 474,789 506,900 11,520 495,380 Inventory on Consignment 141,400 124,600 16,800 Prepaid Insurance 120,000 240,000 40,000 200,000 FV-OCI Investments 106,000 6,500 112,500 Contract Asset/Liability 157,699 5,498,057 3,500,000 2,155,756 Land 320,000 320,000 320,000 Building 3,058,199 3,058,199 3,188 7,188 3,054,199 Building - Accumulated Depreciation 78,721 78,721 7,188 60,887 132,420 Equipment 389,105 406,905 406,905 Equipment - Accumulated Depreciation 38,292 38,292 76,455 114,747 Intangible Assets 161,750 161,750 Intangible Assets - Accumulated Amortization 24,342 24,342 Goodwill 675,000 675,000 73,000 602,000 Accumulated Impairment Loss - Goodwill Accounts Payable 525,000 1,077,205 1,077,205 Deferred Tax Liability HST Payable 89,100 159,800 159,800 Interest Payable 100,000 110,625 110,625 Dividends Payable 175,000 175,000 Income Tax Payable Wages Payable 45,000 10,906 10,906 Notes Payable 250,000 250,000 Bank Loan 2,500,000 4,000,000 4,000,000Common Stock 1,513,139 L913, 139 Retained Earnings Revaluation Surplus - OCI Revenue from Long-term Contract {2013] 727,144 3,206,449 1,357,279 Revenue from Longterm Contract Project #1 Revenue from Longterm Contract Project #2 Revenue from Consignments Sales Revenue- Equipment 6,952,211] Dividend Income 5,355,690 13,5m Interest Income Gainf {Loss} on sale oi truck Investment Income or Loss Unrealized Gain or Loss ()Cl IE Cost o1 Goods Sold 3,717,4m 4,413,211] Construction Expenseslzmsl Construction Expenses - Project In Construction Expenses Project #2 2,369,100 Loss on Impairment Equipment Rental {other expenses] 525,610 374,993 Equipment Repairs lather expenses} Wages 659,III] IBM Payroll Tax Expense 32,395 138,611] Interest Expense SBJSI] Utilities Income tax expense 5 Insurance Expense 1.61],III] 1.21],[I]] Bad Debt Expense 23,056 Commission Expense - Advertising Expense 4,511] Administration Expenses 91095 9],l]95 Trial Balance Unadjusted Trial Balance Adjusted At December 31, 2019 At December 31, 2020 Adjustments Trial Balance Income Statement Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Amortization Expense (other expense) 24,342 24,342 Depreciation Expense (other expenses) 93,678 137,341 137,341 TOTALS $15,137,199 $15,137,199 | $ 16,398,449 | $16,398,449 $16,087,130 $16,087,130 | $22,391,085 $22,391,085
