(e) Prepare the Jack Shack June 30th financial statements in good form: 1. Income statement, 2. Statement of owners equity,

3. Classified balance sheet.

(f)Journalize and post the closing entries (General Journal page J3).

BUSI 121 Case Assignment - Fall 2020 PART 2-JACK SHACK LAWN REPAIR SERVICS You are required to do the accounting for a local service business (JACK SHACK LAWN REPAIR SERVICES) for the month of June. After the success of his lawn business, the following summer Jack Roberts opened Jack Shack Lawn Repair Services. During June the following transactions were completed: June 1 Jack invested $38,000 cash in the business. $8,000 came from his personal savings account, and $30,000 was an inheritance Jack received from his grandmother. Jack deposited this into a new business account with his local credit union. June 1 Purchased used lawn repair equipment for $30,750, paying $3.750 cash and the balance on account (the equipment had a list price of $27,000). June 1 Paid $1,500 for the June rent of a small shop. June 3 Purchased cleaning supplies for $2,225 on account. June 5 Purchased $3,120 on a 1-year insurance policy, effective June 1 June 12 Billed customers $6,280 for repair services done in June. June 18 Paid $5,000 of amount owed on equipment, and the full amount owed on cleaning supplies (see June 3rd entry) June 20 Paid $2,175 for employee salaries. June 21 Collected $3,140 from customers billed on June 12. June 25 Billed customers $7,250 for repair services. June 30 Paid gas and oil for the month on the equipment, $480. June 30 Withdrew $3,000 cash for personal use. Page 3 BUSI 121 Case Assignment - Fall 2020 (e) JACK SHACK LAWN REPAIR SERVICES - Financial Statements cont'd