Question
On June 12, Carpenter Printing printed $18547 in magazines for the Pierre Company. The magazines were delivered on June 15, along with an invoice for
On June 12, Carpenter Printing printed $18547 in magazines for the Pierre Company.
The magazines were delivered on June 15, along with an invoice for $6061 due July 15. Per the contract negotiated by the Pierre Company with Carpenter Printing, $5480 will be invoiced in July and will be due August 15; the remainder will be invoiced in August and will be due September 15.
On June 18, Cecil Advertising Agency signed a contract with Carpenter Printing to print advertisements, paying $23925 in advance. $8653 in advertisements are contracted to be printed in June and $33126 in advertisements are contracted to be printed in July.
On June 30, $11010 of advertisements were printed and delivered to Cecil Advertising.
On June 30, $1537of the $16484 in supplies remaining on May 31 have not been used.
Required:
Based on these transactions alone, what is the effect on the Net Income on the Income Statement on June 30?
Step by Step Solution
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To determine the effect on the net income on the income statement on June 30 we need to analyze the ...
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Financial Accounting An Introduction to Concepts, Methods and Uses
Authors: Roman L. Weil, Katherine Schipper, Jennifer Francis
14th edition
978-1111823450, 1-133-36617-1 , 1111823456, 978-1-133-3661, 978-1133591023
