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 owners equity
Increase in owners 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 owners equity
Total property, plant, and equipment
Total revenues
Withdrawals

CHART OF ACCOUNTS

Finders Investigative Services

General Ledger

	ASSETS
11	Cash
12	Accounts Receivable
13	Supplies
14	Prepaid Insurance
16	Building
17	Accumulated Depreciation-Building

	LIABILITIES
21	Accounts Payable
22	Salaries Payable
23	Unearned Rent

	EQUITY
31	Stacy Tanner, Capital
32	Stacy Tanner, Drawing
33	Income Summary

	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

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:

Finders Investigative Services
End-of-Period Spreadsheet
For the Year Ended June 30, 20Y3
	~	Adjusted Trial Balance
Account Title	~	Dr.	Cr.
	~
Cash	~	23,000
Accounts Receivable	~	68,000
Supplies	~	4,500
Prepaid Insurance	~	2,500
Building	~	444,000
Accumulated Depreciation-Building	~		45,000
Accounts Payable	~		11,200
Salaries Payable	~		2,900
Unearned Rent	~		1,500
Stacy Tanner, Capital	~		372,900
Stacy Tanner, Drawing	~	11,500
Service Fees	~		716,250
Rent Revenue	~		11,500
Salaries Expense	~	525,000
Rent Expense	~	46,000
Supplies Expense	~	10,500
Depreciation Expense-Building	~	8,100
Utilities Expense	~	7,350
Repairs Expense	~	2,500
Insurance Expense	~	2,300
Miscellaneous Expense	~	6,000
	~	1,161,250	1,161,250

Required:

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.

Finders Investigative Services

Income Statement

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15

1. Prepare a statement of owners 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.

Finders Investigative Services

Statement of Owners Equity

1
2
3
4
5

1. Prepare a balance sheet as of June 30, 20Y3. Fixed assets must be entered in order according to account number. 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. You will not need to enter colons (:) or the word "Less" on the balance sheet; they will automatically insert where necessary. Enter all values as positive amounts.

Finders Investigative Services

Balance Sheet

1	Assets
2
3
4
5
6
7
8
9
10
11
12
13	Liabilities
14
15
16
17
18
19	Owners Equity
20
21

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. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount entered