Question
Income Statement On November 1, 2020, Jean Higgins started a wedding planning company, Extraordinary Studios. On November 30, 2020, the companys records showed the following
Income Statement
On November 1, 2020, Jean Higgins started a wedding planning company, Extraordinary Studios. On November 30, 2020, the companys records showed the following items.
|
|
|
|
| Cash | $ | 16,000 |
| Accounts receivable |
| 17,000 |
| Office supplies |
| 5,000 |
| Automobiles |
| 36,000 |
| Office equipment |
| 25,250 |
| Accounts payable |
| 7,500 |
| Owners investments |
| 84,000 |
| Owners withdrawals |
| 3,360 |
| Wedding consulting revenue |
| 22,000 |
| Rent expense |
| 2,550 |
| Salaries expense |
| 6,000 |
| Telephone expense |
| 1,680 |
| Utilities expenses |
| 660 |
Required 25% each:
- Use the above information to prepare a November income statement for the business
- Prepare a November statement of changes in equity for Extraordinary Studios.
- Use the above information prepare a November 30 balance sheet for Extraordinary Studios.
- What can you say about Jean Higgins companys financial status?
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Management and Cost Accounting
Authors: Colin Drury
8th edition
978-1408041802, 1408041804, 978-1408048566, 1408048566, 978-1408093887
