INSTRUCTIONS A. Prepare a tabular summary of transactions B. Formulate the income statement, retained earnings statement and balance sheet as

of September 31st, 2018

Information:

After 2 years of managing a established business, INNO reports an annual growth margin of 38%; for the term ended in September 31st, 2018, they reported the following transactions:

1. Stockholders invested $10,000 in cash in exchange for common stock of INNOmuebles

2. Paid $800 for July rent on office space.

3. Purchased office equipment on account $3,000.

4. Sold various merchandise (furniture) to clients for cash $1,500.

5. Borrowed $700 cash from a bank on a note payable.

6. Sold office furniture to a specific client on account $2,000.

7. Paid monthly expenses: salaries $500, utilities $300, and advertising $100.