meducation.com 1 mglund Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not in Required information [The following information applies to the questions displayed below) Santana Rey created Business Solutions on October 1, 2020. The company has been successful and its list of customers has grown. To accommodate the growth, the accounting system is modified to set up separate accounts for each customer. The following chart of accounts includes the account number used for each account and any balance as of December 31, 2020. Santana Rey decided to add a fourth digit with a decimal point to the 106 account number that had been used for the single Accounts Receivable account. This change allows the company to continue using the existing chart of accounts 543,572 . No. 101 Cash 106.1 Alex's Engineering Co. 105.2 Wildcat Services 106.3 Easy Leasing 10.41 Co. 106.5 Liu Corp. 106.5 Gomes Co. 106.7 Deltaco 106.8 KC, Inc. 106.9 Dream, Inc. 119 Merchandise inventory 126 Computer supplies 125 Prepaid insurance 131 Prepaid rent 163 office 164 Accuted depreciation Office Computer 166 heilte depreciatio-curve 201 payable 210 Meer payable 2.36 Uneare computer services reme 02 Como stock 216 bilan ee 2.120 2. 1,2 580 1.41 . here to search O - Esc FI $ # 3 & 7 2 6 8 9 0 education.com 252mghmiddleware Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indic In response to requests from customers, S. Rey will begin selling computer software. The company will extend credit terms of 1/10,n/30, FOB shipping point, to all customers who purchase this merchandise. However, no cash discount is available on consulting fees. Additional accounts (Nos. 119, 413, 414, 415, and 502) are added to its general ledger to accommodate the company's new merchandising activities. Its transactions for January through March follow. Jan. The company paid cash to Lyn Addie for five days' work at the rate of $145 per day. Four of the five days relate to wages payable that were accrued in the prior year. 5 Santana Rey invested an additional $23,100 cash in the company in exchange for more common stock. 7 The company purchased $6,700 of merchandise fron Kansas Corp. with terms of 1/10, 1/30, FOB shipping point, invoice dated January 7. 9 The company received $2,848 cash from Gomez Co. as full payment on its account. 11 The company completed a five-day project for Alex's Engineering Co. and billed it $5,320, which is the total price of $6,750 less the advance payment of $1,430. The company debited Unearned Computer Services Revenue for $1,430. 13 The company sold merchandise with a retail value of $4,600 and a cost of $3,460 to L Corp., invoice dated January 13. 15 The company paid $670 cash for freight charges on the merchandise purchased on January 7. 16 The company received $4,030 cash from Delta Co. for computer services provided. 17 The company paid Kansas Corp. for the invoice dated January 7, net of the discount. 20 The company gave a price reduction (allowance) of $500 to Liu Corp. and credited Liu's accounts receivable for that amount. 22 The company received the balance de from Lu Corp. net of the discount and the allowance. 24 The company returned defective merchandise to Kansas Corp. and accepted credit against future purchases (debited accounts payable). The defective merchandise Invoice cost, net of the discount, was 5476. 26 The company porchased $9,480 of merchandise from Kansas Corp. with teras of 1/10, 1/30, Fos destination, invoice dated January 26. 26 The company sold merchandise with a $4,570 cost for $5, se on credit to k, Inc., invoice dated January 26. 31 The company paid cash to Lyn Addie for 10 days' work at $145 per day. Feb. 1 The company paid $2,715 cash to Hillside Mall for another three months' rent in advance The company paid Kansas Corp. for the balance due, net of the cash discount, less the $478 credit from merchandise returned on wuary 24. 5 The company paid $450 cash to Facebook for advertisement to appear on February 5 only. 11 The company received the balance due from Alex's Engineering Co. for fees billed on January 11. 15 The company paid = 14,710 cash dividend. 23 The company cold archandise with a $2,580 cost for $3,360 credit to Delta Co., Invoice datud February 23. 25 The company paid cash to Lyn adds for it wys work at $145 per day 27 The company reimbursed Santana Rey $288 cash for business stomobile eile. The company recorded the ere to search Checcation.com/ext/map/index.html?con con&external_browser=0&launchUilehttps%253A%252F%252Flms.mheducation.com%252Fmghmiddlew Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not 4. Prepare an income statement (from the adjusted trial balance in part 3) for the three months ended March 31, 2021. (a) Use a single-step format. List all expenses without differentiating between selling expenses and general and administrative expenses. Use a multiple-step format that begins with gross sales (service revenues plus gross product sales) and includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. Categorize the following accounts as selling expenses: Wages Expense, Mileage Expense and Advertising Expense. Categorize the remaining expenses as general and administrative. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required 48 Prepare an income statement (from the adjusted trial balance in part 3) for the three months ended March 31, 2021. (a) Use a single-step format. List all expenses without differentiating between selling expenses and general and administrative expenses BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2021 Revens Computer services revenue 25347 Notes 17073 5 pe here to search O C Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not i 25. Uw au Lu Ly Unway WUL per way. 27 The company reimbursed Santana Rey $288 cash for business automobile mileage. The company recorded the reimbursement as "Mileage Expense." Mar. The company purchased $2,910 of computer supplies from Harris office Products on credit with terms of w/30, FOS destination, invoice dated March 8. 9 The company received the balance due from Delta Co. for merchandise sold on February 23. 11 The company paid $860 cash for minor repairs to the company's computer 16 The company received $5,350 cash from Dream, Inc., for computing services provided. 19 The company paid the full amount due of $4,030 to Harris Office Products, consisting of amounts created on December 15 (of $1,120) and March 8. 24 The company billed Easy Leasing for $9,217 of computing services provided 25 The company sold merchandise with a $2,142 cost for $2.810 on credit to Wildcat Services, invoice dated March 30 The company sold merchandise with $1,158 cost for $2,390 on credit to IFR Company, invoice dated March 30. 31 The company reimbursed Santana Rey $96 cash for business automobile mileage. The company recorded the reimbursement as Mileage Expense." The following additional facts are available for preparing adjustments on March 31 prior to financial statement preparation. a. The March 31 amount of computer supplies still available totals $2,075. b. Prepaid Insurance coverage of $708 expired during this three month period. c. Lyn Addie has not been paid for seven days of work at the rate of $145 per day d. Prepaid rent of $2.715 expired during this three month period. e. Depreciation on the computer equipment for January 1 through March 31 is $1.230. 4. Depreciation on the office equipment for January 1 through March 31 is $300. 9. The March 31 amount of merchandise inventory still available totals $584. 4. Prepare an Income statement from the adjusted trial balance in part 3) for the three months ended March 31, 2021 (a) Use a single-step format. List all expenses without differentiating between selling expenses and general and administrative expenses b) Use a multiple step format that begins with gross sales (service revenues plus gross product sales and includes separate categories for net sales, cost of goods sold, selling expenses and general and administrative expenses. Categorie the following pre to search o Required information Prepare an income statement (from the adjusted trial balance in part 3) for the three months ended March 31, 2021 (a) is a single step format. List all expenses without differentiating between selling expenses and general and administrative expenses. BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2021 Revenues Computer services tovence Net sales $ 25,347 17 967 43 314 Total revenues Expenses Depreciation expense-Office equipment Depreciation expense - Computer equipment Wages expense Rent expense Insurance expense Computer supplies expense Advertising expose Mongoexpone Repairs-open--Computer OOOOOOOOO 300 1,230 580 2,715 Ton 600 450 384 080 here to search o C - F -3 F F10 FIS a # 3 $ 4 % 5 & 7 6 2 8 9 0 Q W E R T Y O Required information 43 314 $ Total revenues Expenses Depreciation expense-Office equipment Depreciation expense-Computer equipment Wages expense Rent expense Insurance expense Computer supplies expense Advertising expense Mileage expense Repairs expense-Computer 300 1 230 5803 2.715 708 630 450 384 850 Total expenses 7857 35.457 PA Required 4B > here to search O C Required information Prepare an income statement from the adjusted trial balance in part 3) for the three months ended March 31, 2021. (b) Use a multiple step format that begins with gross sales service revenues plus gross product sales) and includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. Categorie the following accounts as selling expenses: Wages Expense, Mileage Expense, and Advertising Expense. Categorize the remaining expenses as general and administrative. Show less BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2021 0 a Nel sales O Expenses Seling expenses o Total sehing General dansative expenses o here to search C d- + OP F10 $ # 3 % 5 & 7 2 6 8 9 0 E Q W R T Y U O 1 P rpe An linex Theducation.com/et/map/indexhtml?con-conexternal_browser=0&launchUrl=http%253A *5252Fim meducation.com Required information 0 Net sales 0 0 Expenses Seling expenses 0 Total seling expenses General and administrative expenses Total general and administrative expenses Total expenses D BA here to search B Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It do e 63e 2,124 SOS 8,000 $ 300 20,680 106.8 KC, Inc. 106.9 Dream, Inc. 119 Merchandise inventory 126 Computer supplies 125 Prepaid insurance 131 Prepaid rent 163 Office equipment 164 Accumulated depreciation-office equipment 162 Computer equipment 168 Accumulated depreciation-Computer equipment 201 Accounts payable 210 Wages payable 236 Unearned computer services revenue 307 Common stock 318 Retained earnings 319 Dividends 403 Computer services revenue 413 Sales 414 Sales returns and allowances 415 Sales discounts 502 Cost of goods sold 612 Depreciation expense-Office equipment 613 Depreciation expense-Computer equipment 623 Wages expense 637 Insurance expense 640 Rent expense 652 Computer supplies expense 655 Advertising expense 676 Mileage expense 677 Miscellaneous expenses 684 Repairs expense-Computer 1,230 1, 12 580 1,430 73,089 8,960 In response to requests from customers, S. will sell computer software. The company will extend credit terims of 1/10, 1/30, FOB shipping point, to all customers who purchase this merchandise. However, no cash discount is available on consulting fees. Additional accounts (Nos. 119, 413 414 415 and 502) are added to its general ledger to accommodate the company's new merchandising activities. Its transactions for January through March follow. here to search O C meducation.com 1 mglund Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not in Required information [The following information applies to the questions displayed below) Santana Rey created Business Solutions on October 1, 2020. The company has been successful and its list of customers has grown. To accommodate the growth, the accounting system is modified to set up separate accounts for each customer. The following chart of accounts includes the account number used for each account and any balance as of December 31, 2020. Santana Rey decided to add a fourth digit with a decimal point to the 106 account number that had been used for the single Accounts Receivable account. This change allows the company to continue using the existing chart of accounts 543,572 . No. 101 Cash 106.1 Alex's Engineering Co. 105.2 Wildcat Services 106.3 Easy Leasing 10.41 Co. 106.5 Liu Corp. 106.5 Gomes Co. 106.7 Deltaco 106.8 KC, Inc. 106.9 Dream, Inc. 119 Merchandise inventory 126 Computer supplies 125 Prepaid insurance 131 Prepaid rent 163 office 164 Accuted depreciation Office Computer 166 heilte depreciatio-curve 201 payable 210 Meer payable 2.36 Uneare computer services reme 02 Como stock 216 bilan ee 2.120 2. 1,2 580 1.41 . here to search O - Esc FI $ # 3 & 7 2 6 8 9 0 education.com 252mghmiddleware Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indic In response to requests from customers, S. Rey will begin selling computer software. The company will extend credit terms of 1/10,n/30, FOB shipping point, to all customers who purchase this merchandise. However, no cash discount is available on consulting fees. Additional accounts (Nos. 119, 413, 414, 415, and 502) are added to its general ledger to accommodate the company's new merchandising activities. Its transactions for January through March follow. Jan. The company paid cash to Lyn Addie for five days' work at the rate of $145 per day. Four of the five days relate to wages payable that were accrued in the prior year. 5 Santana Rey invested an additional $23,100 cash in the company in exchange for more common stock. 7 The company purchased $6,700 of merchandise fron Kansas Corp. with terms of 1/10, 1/30, FOB shipping point, invoice dated January 7. 9 The company received $2,848 cash from Gomez Co. as full payment on its account. 11 The company completed a five-day project for Alex's Engineering Co. and billed it $5,320, which is the total price of $6,750 less the advance payment of $1,430. The company debited Unearned Computer Services Revenue for $1,430. 13 The company sold merchandise with a retail value of $4,600 and a cost of $3,460 to L Corp., invoice dated January 13. 15 The company paid $670 cash for freight charges on the merchandise purchased on January 7. 16 The company received $4,030 cash from Delta Co. for computer services provided. 17 The company paid Kansas Corp. for the invoice dated January 7, net of the discount. 20 The company gave a price reduction (allowance) of $500 to Liu Corp. and credited Liu's accounts receivable for that amount. 22 The company received the balance de from Lu Corp. net of the discount and the allowance. 24 The company returned defective merchandise to Kansas Corp. and accepted credit against future purchases (debited accounts payable). The defective merchandise Invoice cost, net of the discount, was 5476. 26 The company porchased $9,480 of merchandise from Kansas Corp. with teras of 1/10, 1/30, Fos destination, invoice dated January 26. 26 The company sold merchandise with a $4,570 cost for $5, se on credit to k, Inc., invoice dated January 26. 31 The company paid cash to Lyn Addie for 10 days' work at $145 per day. Feb. 1 The company paid $2,715 cash to Hillside Mall for another three months' rent in advance The company paid Kansas Corp. for the balance due, net of the cash discount, less the $478 credit from merchandise returned on wuary 24. 5 The company paid $450 cash to Facebook for advertisement to appear on February 5 only. 11 The company received the balance due from Alex's Engineering Co. for fees billed on January 11. 15 The company paid = 14,710 cash dividend. 23 The company cold archandise with a $2,580 cost for $3,360 credit to Delta Co., Invoice datud February 23. 25 The company paid cash to Lyn adds for it wys work at $145 per day 27 The company reimbursed Santana Rey $288 cash for business stomobile eile. The company recorded the ere to search Checcation.com/ext/map/index.html?con con&external_browser=0&launchUilehttps%253A%252F%252Flms.mheducation.com%252Fmghmiddlew Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not 4. Prepare an income statement (from the adjusted trial balance in part 3) for the three months ended March 31, 2021. (a) Use a single-step format. List all expenses without differentiating between selling expenses and general and administrative expenses. Use a multiple-step format that begins with gross sales (service revenues plus gross product sales) and includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. Categorize the following accounts as selling expenses: Wages Expense, Mileage Expense and Advertising Expense. Categorize the remaining expenses as general and administrative. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required 48 Prepare an income statement (from the adjusted trial balance in part 3) for the three months ended March 31, 2021. (a) Use a single-step format. List all expenses without differentiating between selling expenses and general and administrative expenses BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2021 Revens Computer services revenue 25347 Notes 17073 5 pe here to search O C Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not i 25. Uw au Lu Ly Unway WUL per way. 27 The company reimbursed Santana Rey $288 cash for business automobile mileage. The company recorded the reimbursement as "Mileage Expense." Mar. The company purchased $2,910 of computer supplies from Harris office Products on credit with terms of w/30, FOS destination, invoice dated March 8. 9 The company received the balance due from Delta Co. for merchandise sold on February 23. 11 The company paid $860 cash for minor repairs to the company's computer 16 The company received $5,350 cash from Dream, Inc., for computing services provided. 19 The company paid the full amount due of $4,030 to Harris Office Products, consisting of amounts created on December 15 (of $1,120) and March 8. 24 The company billed Easy Leasing for $9,217 of computing services provided 25 The company sold merchandise with a $2,142 cost for $2.810 on credit to Wildcat Services, invoice dated March 30 The company sold merchandise with $1,158 cost for $2,390 on credit to IFR Company, invoice dated March 30. 31 The company reimbursed Santana Rey $96 cash for business automobile mileage. The company recorded the reimbursement as Mileage Expense." The following additional facts are available for preparing adjustments on March 31 prior to financial statement preparation. a. The March 31 amount of computer supplies still available totals $2,075. b. Prepaid Insurance coverage of $708 expired during this three month period. c. Lyn Addie has not been paid for seven days of work at the rate of $145 per day d. Prepaid rent of $2.715 expired during this three month period. e. Depreciation on the computer equipment for January 1 through March 31 is $1.230. 4. Depreciation on the office equipment for January 1 through March 31 is $300. 9. The March 31 amount of merchandise inventory still available totals $584. 4. Prepare an Income statement from the adjusted trial balance in part 3) for the three months ended March 31, 2021 (a) Use a single-step format. List all expenses without differentiating between selling expenses and general and administrative expenses b) Use a multiple step format that begins with gross sales (service revenues plus gross product sales and includes separate categories for net sales, cost of goods sold, selling expenses and general and administrative expenses. Categorie the following pre to search o Required information Prepare an income statement (from the adjusted trial balance in part 3) for the three months ended March 31, 2021 (a) is a single step format. List all expenses without differentiating between selling expenses and general and administrative expenses. BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2021 Revenues Computer services tovence Net sales $ 25,347 17 967 43 314 Total revenues Expenses Depreciation expense-Office equipment Depreciation expense - Computer equipment Wages expense Rent expense Insurance expense Computer supplies expense Advertising expose Mongoexpone Repairs-open--Computer OOOOOOOOO 300 1,230 580 2,715 Ton 600 450 384 080 here to search o C - F -3 F F10 FIS a # 3 $ 4 % 5 & 7 6 2 8 9 0 Q W E R T Y O Required information 43 314 $ Total revenues Expenses Depreciation expense-Office equipment Depreciation expense-Computer equipment Wages expense Rent expense Insurance expense Computer supplies expense Advertising expense Mileage expense Repairs expense-Computer 300 1 230 5803 2.715 708 630 450 384 850 Total expenses 7857 35.457 PA Required 4B > here to search O C Required information Prepare an income statement from the adjusted trial balance in part 3) for the three months ended March 31, 2021. (b) Use a multiple step format that begins with gross sales service revenues plus gross product sales) and includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. Categorie the following accounts as selling expenses: Wages Expense, Mileage Expense, and Advertising Expense. Categorize the remaining expenses as general and administrative. Show less BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2021 0 a Nel sales O Expenses Seling expenses o Total sehing General dansative expenses o here to search C d- + OP F10 $ # 3 % 5 & 7 2 6 8 9 0 E Q W R T Y U O 1 P rpe An linex Theducation.com/et/map/indexhtml?con-conexternal_browser=0&launchUrl=http%253A *5252Fim meducation.com Required information 0 Net sales 0 0 Expenses Seling expenses 0 Total seling expenses General and administrative expenses Total general and administrative expenses Total expenses D BA here to search B Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It do e 63e 2,124 SOS 8,000 $ 300 20,680 106.8 KC, Inc. 106.9 Dream, Inc. 119 Merchandise inventory 126 Computer supplies 125 Prepaid insurance 131 Prepaid rent 163 Office equipment 164 Accumulated depreciation-office equipment 162 Computer equipment 168 Accumulated depreciation-Computer equipment 201 Accounts payable 210 Wages payable 236 Unearned computer services revenue 307 Common stock 318 Retained earnings 319 Dividends 403 Computer services revenue 413 Sales 414 Sales returns and allowances 415 Sales discounts 502 Cost of goods sold 612 Depreciation expense-Office equipment 613 Depreciation expense-Computer equipment 623 Wages expense 637 Insurance expense 640 Rent expense 652 Computer supplies expense 655 Advertising expense 676 Mileage expense 677 Miscellaneous expenses 684 Repairs expense-Computer 1,230 1, 12 580 1,430 73,089 8,960 In response to requests from customers, S. will sell computer software. The company will extend credit terims of 1/10, 1/30, FOB shipping point, to all customers who purchase this merchandise. However, no cash discount is available on consulting fees. Additional accounts (Nos. 119, 413 414 415 and 502) are added to its general ledger to accommodate the company's new merchandising activities. Its transactions for January through March follow. here to search O C
