Introduction: This is a simulation of the accounting cycle for a service business. It is part of the summative evaluation for this course. You are the accountant for Smith Heating and Electric owned by Mike Smith. You have the task of completing the accounting cycle and preparing the financial statements for Smith Heating and Electric. Smith Heating and Electric provides mechanical service and installation to both home and business clients (furnace installs and repair, electric systems, etc). The revenue they earn comes from service revenue and the sales of equipment (furnaces, water heaters, electrical equipment, etc). The company uses the Poriodic Inventory method. Page 7 The Worksheet. Page 8 The Income Statement. Page 9 The Balance Sheet. \begin{tabular}{|l|} \hline 35 \\ \hline 36 \\ \hline 37 \\ \hline 38 \\ \hline 39 \\ \hline 40 \\ \hline 41 \\ \hline 42 \\ \hline 43 \\ \hline 44 \\ \hline 45 \\ \hline 46 \\ \hline 47 \\ \hline 48 \\ \hline \end{tabular} NCOME STATEMENT BALANCE SMECT \begin{tabular}{l|l|l|l} \hline 31 & Capital Asset: For the following: Instructions: Rate: & 170 Amortization adjustment for the period. Make any adjustments as necessary. 30% \\ \hline Asset: For the following: Instructions: Opening Installatilon Inventory Ending Installation Inventory & Financial Statement preparation. Make any adjustments as necessary. \\ \hline \end{tabular} Introduction: This is a simulation of the accounting cycle for a service business. It is part of the summative evaluation for this course. You are the accountant for Smith Heating and Electric owned by Mike Smith. You have the task of completing the accounting cycle and preparing the financial statements for Smith Heating and Electric. Smith Heating and Electric provides mechanical service and installation to both home and business clients (furnace installs and repair, electric systems, etc). The revenue they earn comes from service revenue and the sales of equipment (furnaces, water heaters, electrical equipment, etc). The company uses the Poriodic Inventory method. Page 7 The Worksheet. Page 8 The Income Statement. Page 9 The Balance Sheet. \begin{tabular}{|l|} \hline 35 \\ \hline 36 \\ \hline 37 \\ \hline 38 \\ \hline 39 \\ \hline 40 \\ \hline 41 \\ \hline 42 \\ \hline 43 \\ \hline 44 \\ \hline 45 \\ \hline 46 \\ \hline 47 \\ \hline 48 \\ \hline \end{tabular} NCOME STATEMENT BALANCE SMECT \begin{tabular}{l|l|l|l} \hline 31 & Capital Asset: For the following: Instructions: Rate: & 170 Amortization adjustment for the period. Make any adjustments as necessary. 30% \\ \hline Asset: For the following: Instructions: Opening Installatilon Inventory Ending Installation Inventory & Financial Statement preparation. Make any adjustments as necessary. \\ \hline \end{tabular}