Old MathJax webview

Required Information [The following information applies to the questions displayed below.) RunHeavy Corporation (RHC) is a corporation that manages a local band. It had the following activities during its first month a. RHC was formed with an Investment of $10,200 cash, pald in by the leader of the band on January 3 in exchange for common stock b. On January 4, RHC purchased music equipment by paying $1,400 cash and signing an $8,800 promissory note payable in three years. con January 5, RHC booked the band for six concert events, at a price of $2,600 each, but no cash was collected yet d. Of the six events, four were completed between January 10 and 20 e On January 22, cash was collected for three of the four events. I The other two bookings were for February concerts, but on January 24, RHC collected half of the $2,600 fee for one of them g. On January 27, RHC paid $2,540 cash for the band's travel-related costs 12. On January 28, RHC pald its band members a total of $2,220 cash for salarles and wages for the first three events. As of January 31, the band members hadn't yet been paid wages for the fourth event completed in January, but they would be paid in February at the same rate as for the first three events. J. As of January 31, RHC has not yet recorded the $124 of monthly depreciation on the equipment k. Also, RHC has not yet paid or recorded the $66 Interest owed on the promissory note at January 31. 1. RHC is subject to a 20% tax rate on the company's income before tax. Required: 3-a. Prepare an income statement for January 31. 3-b. Prepare a classified balance sheet for January 31. Reg 2A Reg 2B Post the entries from requirement 1 to T-accounts. Cash Accounts Receivable Debit Credit Debit Credit Beginning Balance Beginning Balance Ending Balance 0 Ending Balance 0 Equipment Debit Credit Accumulated Depreciation Debit Beginning Balance Credit Beginning Balance Ending Balance 0 Ending Balance Deferred Revenue Debit Credit Salaries and Wages Payable Debit Beginning Balance Credit Beginning Balance Ending Balance Ending Balance 0 Interest Payable Income Tax Payable Credit Credit Debit Reninninn Ralance Debit Beninninn Balance B. Required information Interest Payable Income Tax Payable Debit Credit Debit Credit Beginning Balance Beginning Balance 0 0 Ending Balance Ending Balance Common Stock Credit Credit Notes Payable (long-term) Debit Beginning Balance Debit Beginning Balance Ending Balance Ending Balance Retained Earnings Service Revenue Debit Credit Debit Credit Beginning Balance Beginning Balance Ending Balance Ending Balance Travel Expense Debit Credit Salaries and Wages Expense Debit Beginning Balance Credit Beginning Balance Ending Balance Ending Balance 0 Interest Expense Depreciation Expense Debit Credit Credit Debit Reminninn Ralance Reninninn Ralance Required information Ending Balance 0 Ending Balance Travel Expense Debit Credit Salaries and Wages Expense Debit Beginning Balance Credit Beginning Balance Ending Balance Ending Balance Interest Expense Depreciation Expense Credit Credit Debit Beginning Balance Debit Beginning Balance Ending Balance Ending Balance 0 Income Tax Expense Credit Debit Begining Balance Ending Balance 0 Hec A Req 2B> Prepare an adjusted trial balance. RUNHEAVY CORPORATION Adjusted Trial Balance Debit Credit Cash Accounts Receivable Equipment Accumulated Depreciation Deferred Revenue Salaries and Wages Payable Interest Payable Income Tax Payable Notes Payable (long-term) Common Stock Retained Earnings Service Revenue Travel Expense Salaries and Wages Expense Interest Expense Depreciation Expense Income Tax Expense Totals $ 0 S 0