Financial statements and closing entries

The Gorman Group is a financial planning services firm owned and operated by Nicole Gorman. As of October $31,20$Y$9,$ the end of the fiscal year, the accountant for The Gorman Group prepared an end$-$of$-$period spreadsheet, part of which follows:

The Gorman Group

End$-$of$-$Period Spreadsheet

For the Year Ended October $31,20$Y$9$

Account Title Adjusted

Trial Balance

Dr$.$ Adjusted

Trial Balance

Cr$.$

Cash $17,520$

Accounts Receivable $38,140$

Supplies $5,960$

Prepaid Insurance $12,870$

Land $135,000$

Buildings $488,000$

Accumulated Depreciation$-$Buildings $158,800$

Equipment $352,000$

Accumulated Depreciation$-$Equipment $206,800$

Accounts Payable $45,120$

Salaries Payable $4,470$

Unearned Rent $2,030$

Nicole Gorman, Capital $578,780$

Nicole Gorman, Drawing $33,900$

Service Fees $643,380$

Rent Revenue $6,790$

Salaries Expense $461,240$

Depreciation Expense$-$Equipment $25,000$

Rent Expense $21,000$

Supplies Expense $14,840$

Utilities Expense $13,410$

Depreciation Expense$-$Buildings $8,940$

Repairs Expense $7,390$

Insurance Expense $4,050$

Miscellaneous Expense $6,910$

Total $1,646,1701,646,170$

Required:

$1.$ Prepare an income statement.

The Gorman Group

Income Statement

For the Year Ended October $31,20$Y$9$

Line Item Description Amount Amount

Revenues:

$fill in the blank $2$

fill in the blank $4$

Total revenues $fill in the blank $5$

Expenses:

$fill in the blank $7$

fill in the blank $9$

fill in the blank $11$

fill in the blank $13$

fill in the blank $15$

fill in the blank $17$

fill in the blank $19$

fill in the blank $21$

fill in the blank $23$

Total expenses fill in the blank $24$

$fill in the blank $26$

Prepare a statement of owner$$s equity. During the year, Nicole Gorman made no additional investments in the business. If an amount box does not require an entry, leave it blank. If a Net loss is incurred or Nicole Gorman, Drawing were paid, enter that amount as a negative number using a minus sign.

The Gorman Group

Statement of Owner$$s Equity

For the Year Ended October $31,20$Y$9$

Line Item Description Total

$fill in the blank $28$

fill in the blank $30$

fill in the blank $32$

$fill in the blank $34$

Prepare a balance sheet.

The Gorman Group

Balance Sheet

October $31,20$Y$9$

Assets

Current assets:

$fill in the blank $36$

fill in the blank $38$

fill in the blank $40$

fill in the blank $42$

Total current assets $fill in the blank $43$

Property, plant, and equipment:

$fill in the blank $45$

$fill in the blank $47$

fill in the blank $49$

fill in the blank $51$

$fill in the blank $53$

fill in the blank $55$

fill in the blank $57$

Total property, plant, and equipment fill in the blank $58$

Total assets $fill in the blank $59$

Liabilities

Current liabilities:

$fill in the blank $61$

fill in the blank $63$

fill in the blank $65$

Total liabilities $fill in the blank $66$

Owner$$s Equity

fill in the blank $68$

Total liabilities and owner$$s equity $fill in the blank $69$

$2.$ Journalize the entries that were required to close the accounts at October $31.$ If an amount box does not require an entry, leave it blank.

Date Account Debit Credit

$20$Y$9$ Oct. $31$

fill in the blank $71$ fill in the blank $72$

fill in the blank $74$ fill in the blank $75$

fill in the blank $77$ fill in the blank $78$

fill in the blank $80$ fill in the blank $81$

fill in the blank $83$ fill in the blank $84$

fill in the blank $86$ fill in the blank $87$

fill in the blank $89$ fill in the blank $90$

fill in the blank $92$ fill in the blank $93$

fill in the blank $95$ fill in the blank $96$

fill in the blank $98$ fill in the blank $99$

fill in the blank $101$ fill in the blank $102$

fill in the blank $104$ fill in the blank $105$

$20$Y$9$ Oct. $31$

fill in the blank $107$ fill in the blank $108$

fill in the blank $110$ fill in the blank $111$

$3.$ If the balance of Nicole Gorman, Capital had instead increased $$47,400$ after the closing entries were posted, and the owner$$s withdrawals remained the same, what would have been the amount of Net income or Net loss? Enter all amounts as positive numbers.

fill in the blank $1$ of $2$$ fill in the blank $2$ of $2$