omework Check my work E4-19 (Algo) Reporting a Correct Income Statement with Earnings per Share to Include the Effects of Adjusting Entries and Evaluating Total Asset Turnover as an Auditor LO4-1, 4-2, 4-3 48 Jay, Inc., a party rental business, completed its third year of operations on December 31. Because this is the end of the annual accounting period, the company bookkeeper prepared the following tentative income statement: $105,000 Income Statement Rent revenue Expenses: Salaries and wages expense Maintenance expense Rent expense Utilities expense Gas and oil expense Miscellaneous expenses (item not listed elsewhere) Total expenses Income ces 26,000 11,300 7,800 3,100 3,100 1,700 53,000 $ 52,000 You are an independent CPA hired by the company to audit the company's accounting systems and review the financial statements. In your audit, you developed additional data as follows: a, Wages for the last three days of December amounting to $620 were not recorded or paid. b. Jay estimated telephone usage at $310 for December, but nothing has been recorded or paid. c. Depreciation on rental autos, amounting to $23,400 for the current year, was not recorded. d. Interest on a $14,000, one-year, 11 percent note payable dated October 1 of the current year was not mornion The 11 narrant Internet lenmahla nn the mistihedate nf the nato 11 omework Check my work E4-19 (Algo) Reporting a Correct Income Statement with Earnings per Share to Include the Effects of Adjusting Entries and Evaluating Total Asset Turnover as an Auditor LO4-1, 4-2, 4-3 18 Jay, Inc., a party rental business, completed its third year of operations on December 31. Because this is the end of the annual accounting period, the company bookkeeper prepared the following tentative income statement: $105,000 Income Statement Rent revenue Expenses : Salaries and wages expense Maintenance expense Rent expense Utilities expense Gas and oil expense Miscellaneous expenses (items not listed elsewhere) Total expenses Income MOS 26,000 11,300 7,800 3,100 3,100 1,700 53,000 $ 52,000 You are an independent CPA hired by the company to audit the company's accounting systems and review the financial statements. In your audit, you developed additional data as follows: a. Wages for the last three days of December amounting to $620 were not recorded or paid. b. Jay estimated telephone usage at $310 for December, but nothing has been recorded or paid. c. Depreciation on rental autos, amounting to $23,400 for the current year, was not recorded. d. Interest on a $14,000. one year, 11 percent note payable dated October 1 of the current year was not mornion The 11 marrant Internet lenhle on the marine data nf the nato Check my work Income $ 52,000 You are an independent CPA hired by the company to audit the company's accounting systems and review the financial statements. In your audit, you developed additional data as follows: 11:25:35 look a. Wages for the last three days of December amounting to $620 were not recorded or paid. b. Jay estimated telephone usage at $310 for December , but nothing has been recorded or paid. c. Depreciation on rental autos, amounting to $23,400 for the current year, was not recorded. d. Interest on a $14,000, one-year, 11 percent note payable dated October 1 of the current year was not recorded. The 11 percent interest is payable on the maturity date of the note. e. Maintenance expense excludes $1,700, representing the cost of maintenance supplies used during the current year. f. The Unearned Rent Revenue account includes $5,380 of revenue to be earned in January of next year. 9. The income tax expense is $5,500. Payment of income tax will be made next year. int Print arences Required: 1. What adjusting entry for each item (a) through (@should Jay record at December 31? 2. Prepare a corrected income statement for the current year in good form, including earnings per share, assuming that 7,500 shares of stock are outstanding all year. 3. Compute the total asset turnover ratio based on the corrected information. Assume the beginning- of-the-year balance for Jay's total assets was $59,620 and its ending balance for total assets was $66,780. Complete this question by entering your answers in the tabs below. ic raw 3 $ 105,000 1.83 points & 0122:10 Operating revenue: Rent revenue Operating expenses: Salaries and wages expense Maintenance expense Rent expense Utilities expense Gas and oil expense Miscellaneous expenses Depreciation expense eBook Hint Print References Total expenses Operating income Other Item: Interest expense Pretax income Income tax expense Not Income Eamingo per share 0 JA MacBook Pro 0 Q Search Yahoo! Search 3 on the corrected information. Assume the beginning balance for Jay's total assets was $59,620 and its ending balance for total assets was 01:21:56 $66,780. eBook Complete this question by entering your answers in the tabs below. Hint Print Required 1 Required 2 Required 3 References Compute the total asset turnover ratio based on the corrected information. Assume the beginning-of-the-ye Day's total assets was $59,620 and its ending balance for total assets was 566,780. (Round your answer to Total asset turnover ratio (Required 2 Required a