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An inexperienced accounting intern at Krazy Karim prepared the following income statement for the fiscal period 2020. Krazy Karim Income Statement As of December
An inexperienced accounting intern at Krazy Karim prepared the following income statement for the fiscal period 2020. Krazy Karim Income Statement As of December 31, 2020 Revenues: Unearned Revenue Services provided to customers Accounts Receivable Common Stock $ 50,000 73,000 3,500 21.000 TA-Fark Revenues: Unearned Revenue Services provided to customers Accounts Receivable Common Stock Loan from Bank Total Revenues Expenses: Payments on Principal Portion of Long-term Debt Operating Expenses Dividends Faninmant Durchoca $ 50,000 73,000 3,500 21,000 17,500 $ 165,000 $ 40,000 26,000 5,000 10.000 TA-Farhat Jiwa Total Revenues Expenses: Payments on Principal Portion of Long-term Debt Operating Expenses Dividends Equipment Purchase Income Tax Payable Income Tax Expense Total Expenses Net Income $ 165,000 $ 40,000 26,000 5,000 19,000 2,400 3,600 96,000 $ 69,000 Identify and explain all of the errors made by the intern. TA-Farhat Jowa
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