On March 1, 2016, Amy Dart began Dart Delivery Service, which provides delivery of bulk mailings to the post office, neighborhood delivery of weekly newspapers, data delivery to computer service centers, and various other delivery services using leased vans. On February 28, Dart invested $45,000 of her own funds in the firm and borrowed $18,000 from her father on a six-month, non-interest-bearing note payable. The following information is available at March 31:

Accounts Receivable	$29,100		Delivery Fees Earned	$57,900
Rent Expense	6,000		Cash	39,900
Advertising Expense	3,600		Supplies Inventory	19,500
Supplies Expense	8,100		Notes Payable	18,000
Accounts Payable	3,600		Insurance Expense	2,400
Salaries Expense	19,500		Common Stock	45,000
Miscellaneous Expense	600		Retained Earnings	?

Required

a. Prepare an income statement for the month of March.

DART DELIVERY SERVICE Income Statement For the Month Ended March 31, 2016
AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense
AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense		$Answer
Expenses
AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense	Answer
Advertising Expense	Answer
Supplies Expense	Answer
Salaries Expense	Answer
Insurance Expense	Answer
Miscellaneous Expense	Answer
Total Expenses		Answer
AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense		$Answer

b. Prepare a balance sheet as of March 31, 2016.

DART DELIVERY SERVICE Balance Sheet As of March 31, 2016
	ASSETS			LIABILITIES
	AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense	$Answer		AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense	$Answer
	AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense	Answer		Notes payable	Answer
	Supplies	Answer		Total Liabilities		$Answer
				STOCKHOLDERS' EQUITY
				AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense	Answer
				AnswerAccounts PayableAccounts ReceivableAdvertising ExpenseCashCommon StockDelivery Fees EarnedInsurance ExpenseMiscellaneous ExpenseNet IncomeNotes payableRevenueRent ExpenseRetained EarningsSalaries ExpenseSuppliesSupplies Expense	Answer
				Total Stockholders' Equity		$Answer
	Total Assets	$Answer		Total Liabilities and Stockholders' Equity		$Answer