Financial Statements

SLO Health Care Inc. is owned and operated by Morgan Denby, the sole stockholder.

During January 20Y6, San Mateo Health Care entered into the following transactions:

Jan. 1		Received $13,500 from Glenn Company as rent for the use of a vacant office in SLO Health Cares building. Glenn paid the rent nine months in advance.
1		Paid $3,000 for a one-year general insurance business policy.
6		Purchased supplies of $900 on account.
9		Collected $16,000 for services provided to customers on account.
11		Paid creditors $2,500 on account.
18		Invested an additional $5,000 in the business in exchange for common stock.
20		Billed patients $26,000 for services provided on account.
25		Received $7,500 for services provided to customers who paid cash.
30		Paid expenses as follows: wages, $15,500 utilities, $4,250 rent on medical equipment, $2,650 interest, $100 and miscellaneous, $1,500.
30		Paid dividends of $4,000 to stockholder (Dr. Denby).

Adjustment data for SLO Health Care Inc. for January are as follows:

Insurance expired, $450.

Supplies on hand on January 31, $600.

Depreciation on building, $1,150.

Unearned rent revenue earned, $1,500.

Wages owed employees but not paid, $1,450.

Services provided but not billed to patients, $2,500.

Presented in the integrated financial statement format are after-adjustment balances for January.

Instructions:

Question Content Area

Prepare an income statement for January.

SLO HEALTH CARE INC. Income Statement For the Month Ended January 31, 20Y6

Accounts payableFees earnedPrepaid insuranceRent revenueRetained earnings		$- Select -
Operating expenses:
Accounts payableFees earnedPrepaid insuranceRetained earningsWages expense	$- Select -
Accounts payableFees earnedLandRent revenueUtilities expense	- Select -
CashFees earnedPrepaid insuranceRent expenseRent revenue	- Select -
Accounts payableAccumulated depreciationBuildingDepreciation expenseFees earned	- Select -
Accounts payableAccounts receivablePrepaid insuranceSuppliesSupplies expense	- Select -
Fees earnedInsurance expensePrepaid insuranceRent revenueWages payable	- Select -
Capital stockInterest expenseLandPrepaid insuranceRent revenue	- Select -
Accounts receivableAccounts payableFees earnedMiscellaneous expenseNotes payable	- Select -
Total operating expenses		fill in the blank 369853fb306003f_19
Operating incomeOperating loss		$- Select -
Other revenue:
Insurance expenseInterest expenseMiscellaneous expenseRent expenseRent revenue		- Select -
Net incomeNet loss		$- Select -

Question Content Area

Prepare a statement of stockholders' equity for January. For those boxes in which no entry is required, leave the box blank.

SLO HEALTH CARE INC. Statement of Stockholders' Equity For the Month Ended January 31, 20Y6

blank	Common Stock	Retained Earnings	Total
Balances, Jan. 1, 20Y6Balances, Jan. 31, 20Y6DividendsNet incomeNet loss	$- Select -	$- Select -	$- Select -
Balances, Jan. 1, 20Y6Balances, Jan. 31, 20Y6Issued common stockNet incomeNet loss	- Select -	- Select -	- Select -
Balances, Jan. 1, 20Y6Balances, Jan. 31, 20Y6DividendsNet incomeNet loss	- Select -	- Select -	- Select -
Balances, Jan. 1, 20Y6Bal. Balances, Jan. 31, 20Y6DividendsNet incomeNet loss	- Select -	- Select -	- Select -
Balances, Jan. 1, 20Y6Balances, Jan. 31, 20Y6DividendsNet incomeNet loss	$- Select -	$- Select -	$- Select -

Question Content Area

Prepare a classified balance sheet for January. The note payable is due in ten years.

SLO HEALTH CARE INC. Balance Sheet January 31, 20Y6

Assets
Current assets:
CashCommon stockFees earnedRental revenueRetained earnings		$- Select -
Accounts payableAccounts receivableAccumulated depreciationLandNotes payable (due in ten years)		- Select -
Accounts payableInsurance expensePrepaid insuranceUnearned rentWages payable		- Select -
BuildingCommon stockNotes payable (due in ten years)SuppliesSupplies expense		- Select -
Total current assets			$fill in the blank 3a6c56ff0fc3005_9
Property, plant, and equipment:
Accounts payableAccounts receivableBuildingCashCommon stock	$- Select -
Less depreciation expenseLess accumulated depreciationPlus accumulated depreciationPlus cashPlus notes payable (due in ten years)	- Select -	$- Select -
Accounts payableCommon stockInterest expenseLandNotes payable (due in ten years)		- Select -
Total property, plant, and equipment			fill in the blank 3a6c56ff0fc3005_17
Total assets			$fill in the blank 3a6c56ff0fc3005_18
Liabilities
Current liabilities:
Accounts payableAccounts receivableBuildingCommon stockNotes payable (due in ten years)		$- Select -
Prepaid insuranceRental revenueRetained earningsSuppliesUnearned rent		- Select -
LandPrepaid insuranceSuppliesWages expenseWages payable		- Select -
Total current liabilities			$fill in the blank 3a6c56ff0fc3005_25
Long-term liabilities:
Accumulated depreciationCashLandNotes payable (due in ten years)Prepaid insurance			- Select -
Total liabilities			$fill in the blank 3a6c56ff0fc3005_28
Stockholders' Equity
Accounts payableAccounts receivableBuildingCommon stockLand		$- Select -
Prepaid insuranceRetained earningsSuppliesUnearned rentWages payable		- Select -
Total stockholders' equity			fill in the blank 3a6c56ff0fc3005_33
Total liabilities and stockholders' equity			$fill in the blank 3a6c56ff0fc3005_34