Finders Investigative Services is an investigative services firm that is owned and operated by Stacy Tanner. On June 30, 20Y3, the end of the fiscal year, the accountant for Finders Investigative Services prepared an end-of-period spreadsheet, a part of which follows:'

1.Prepare an income statement, a statement of owners equity (no additional investments were made during the year), and a balance sheet.*2.Journalize the entries that were required to close the accounts at June 30.*3.If Stacy Tanner, Capital has instead decreased $30,000 after the closing entries were posted, and the withdrawals remained the same, what would have been the amount of net income or net loss?

*Be sure to read the instructions for each financial statement carefully.

1. Prepare an income statement for the year ended June 30, 20Y3. Be sure to complete the statement heading. Refer to the Chart of Accounts and the list of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative. Expenses should be positive. You will not need to enter colons (:) on the income statement.

2. Based upon the end-of-period spreadsheet, journalize the closing entries. Refer to the chart of accounts for the exact wording of the account titles.

Account Title Cash Finders Investigative Services End-of-Period Spreadsheet For the Year Ended June 30, 20Y3 Supplies Accounts Receivable 2 2 2 2 Adjusted Trial Balance Dr. 24,600 71,400 4,700 Cr. Prepaid Insurance Building Accumulated Depreciation-Building Accounts Payable Salaries Payable Unearned Rent Stacy Tanner, Capital Stacy Tanner, Drawing Service Fees 2 2 2 2 2 2 2 2 2 2,500 432,500 12,000 42,700 11,700 2,500 1,800 373,400 713,600 Rent Revenue Salaries Expense Rent Expense Supplies Expense Depreciation Expense-Building Utilities Expense Repairs Expense Insurance Expense Miscellaneous Expense 2 2 2 2 2 2 2 2 2 526,000 48,000 11,000 7,100 7,300 2,800 2,000 5,800 12,000 1,157,700 1,157,700 ASSETS 11 Cash 12 Accounts Receivable 13 Supplies 14 Prepaid Insurance Finders Investigative Services LIABILITIES 21 Accounts Payable 22 Salaries Payable 23 Unearned Rent CHART OF ACCOUNTS 16 Building 17 Accumulated Depreciation-Building EQUITY 31 Stacy Tanner, Capital 32 Stacy Tanner, Drawing 33 Income Summary General Ledger REVENUE 41 Service Fees 42 Rent Revenue EXPENSES 51 Salaries Expense 52 Rent Expense 53 Supplies Expense 54 Depreciation Expense-Building 55 Utilities Expense 56 Repairs Expense 57 Insurance Expense 59 Miscellaneous Expense Labels Current assets Current liabilities Expenses For the Year Ended June 30, 20Y3 June 30, 20Y3 Property, plant, and equipment Revenues Amount Descriptions Decrease in owner's equity Increase in owner's equity Net income Net loss Stacy Tanner, capital, July 1, 20Y2 Stacy Tanner, capital, June 30, 20Y3 Total assets Total current assets Total expenses Total liabilities Total liabilities and owner's equity Total property, plant, and equipment Total revenues Withdrawals 1 Revenues: 2 Service fees 3 Rent revenue 4 5 Expenses: 6 Salaries expense Rent expense 8 Supplies expense Total revenues 7 9 10 Utilities expense 11 Repairs expense 12 Insurance expense 13 Miscellaneous expense Total expenses 14 Depreciation expense-building 15 Net income Finders Investigative Services Income Statement For the Year Ended June 30, 20Y3 $718,000.00 12,000.00 48,000.00 10,800.00 8,750.00 7,150.00 3,000.00 2,500.00 6,200.00 Score: 81/122 $730,000.00 608,500.00 $121,500.00 Statement of Owner's Equity 1. Prepare a statement of owner's equity for the year ended June 30, 20Y3. No additional investments were made during the year. Be sure to complete the statement heading. Refer to the list of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. 1 3 Stacy Tanner, capital, July 1, 20Y2 Net income Withdrawals 4 Increase in owner's equity Stacy Tanner, capital, June 30, 20Y3 Finders Investigative Services Statement of Owner's Equity For the Year Ended June 30, 20Y3 Shaded cells have feedback. Score: 32/50 1 2 Current assets: Cash 4 Accounts receivable 5 Supplies 3 6 Prepaid insurance Total current assets 8 Property, plant, and equipment: 9 Building 7 10 11 12 13 Assets 14 Current liabilities: 15 Accounts payable Finders Investigative Services Balance Sheet June 30, 20Y3 Less accumulated Total property, plant, and equipment Liabilities $28,000.00 69,600.00 4,600.00 2,500.00 $439,500.00 44,200.00 $11,700.00 Score: 77/134 $104,700.00 500,000.00 1 2 3 4 5 6 7 8 9 10 11 12 13 14 DATE DESCRIPTION Closing Entries Jun. 30 Service Fees Rent Revenue Salaries Expense Rent Expense Supplies Expense Depreciation Expense-Building Utilities Expense Repairs Expense Insurance Expense Miscellaneous Expense Jun. 30 JOURNAL POST. REF. DEBIT 12,000.00 Score: 95/159 CREDIT 48,000.00 ACCOUNTING EQUATION ASSETS PAGE 11 LIABILITIES EQUITY + S Final Question Shaded cells have feedback. 3. If Stacy Tanner, Capital has instead decreased $30,000 after the closing entries were posted, and the withdrawals remained the same, what would have been the amount of net income or net loss? Enter a net loss as a negative amount using a minus sign. -$18,000.00 Feedback Check My Work Points: 11/1 Recall that the statement of owner's equity shows changes in the owner's capital account such that: Ending Capital = Beginning Capital + Investments [+ Net Income or - Net Loss] - Withdrawals. If there are no investments during the year and the withdrawals are as given, a net income or a net loss explains the reason for the remaining change in the capital account