Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

As of December 31 Assets 2021 2020 Cash 7,450 5,000 Accounts Receivable 2,500 2,200 Inventory 4,000 3,000 Prepaid Rent 150 500 PPE 14,500 12,000

image text in transcribedimage text in transcribed

As of December 31 Assets 2021 2020 Cash 7,450 5,000 Accounts Receivable 2,500 2,200 Inventory 4,000 3,000 Prepaid Rent 150 500 PPE 14,500 12,000 Accumulated Dep (6,100) (4,500) Total Assets 22,500 18,200 Liabilities and Equity Accounts Payable 1,400 1,100 Interest Payable 100 200 Unearned Rent Revenue 800 600 Taxes Payable 550 800 Note Payable - Long Term 5,000 Common Stock 10,000 10,000 Retained Earnings 4,650 5,500 Total Liabilities and Equity 22,500 18,200 Lax Unleashed, Inc. Income Statement For the Year Ending December 31, 2021 Sales Revenue 25,000 Cost of Goods Sold (7,200) Gross Profit 17,800 Rent Expense (800) General and Admin Expenses (1,500) Depreciation (3,000) Total Operating Expenses (5,300) Operating Income 12,500 Rent Revenue 1,000 Gain on Sale 2,000 Interest Expense (200) Income before taxes. 15,300 Tax Expense (2,500) Net Income 12,800

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Forensic Accounting and Fraud Examination

Authors: William Hopwood, george young, Jay Leiner

2nd edition

978-007813666, 78136660, 978-0078136665

More Books

Students also viewed these Accounting questions