only answer question 3

7-M Mastery Problem: Preparing financial statements with a net loss 1, 2, 3 Forms are given in the Working Papers. The following information is obtained from the work sheet of Eiler Copy Service for the month ended September 30 of the current year. 5 7 INCOME STATEMENT BALANCE SHEET ACCOUNT TITLE DEBIT CREDIT DEBIT CREDIT 3 48000 75 00 98.00 3 90 00 40 000 3 0600 4.668.00 7 Cash 2 Petty Cash Accounts Receivable-S. Romano Supplies Prepaid Insurance Accounts Payable-Supplies Plus Cheryl Eiler, Capital Cheryl Eiler, Drawing Income Summary 10 Sales Advertising Expense 12 Cash Short and Over Insurance Expense Miscellaneous Expense Supplies Expense Utilities Expense 30 000 16 3 500 10 2 2 5 00 1 00 78 00 4 200 70 000 8/2000 1866.00 (23 100 16 35 00 - - - 12 1 6 3 500 4 7 4 3 00 is Net Loss 4.97 4.00 (23 100 10 4.7.4 3 001 1 16 35 00 47 43 00 20 Il li Instructions: 1. Prepare an income statement for the month ended September 30 of the current year. 2. Calculate and record the ratios for total expenses and net loss. Place the percentage for net loss in parentheses to show that it is for a net loss, Round percentage calculations to the nearest 0.1%. 3. Prepare a balance sheet for September 30 of the current year. 7-M Mastery Problem: Preparing financial statements with a net loss 1, 2, 3 Forms are given in the Working Papers. The following information is obtained from the work sheet of Eiler Copy Service for the month ended September 30 of the current year. 3 7 INCOME STATEMENT BALANCE SHEET ACCOUNT TITLE DEBIT CREDIT DEBIT CREDIT 1 348000 75.00 9 8 00 2 3 4 3 910 00 40.000 30 600 4 6 6 8 00 7 3 0000 Cash: 2 Petty Cash Accounts Receivable-S. Romano Supplies Prepaid Insurance Accounts Payable Supplies Plus Cheryl Eiler, Capital Cheryl Eiler, Drawing Income Summary 10 Sales Advertising Expense 12 Cash Short and Over Insurance Expense Miscellaneous Expense Supplies Expense Utilities Expense 9 1635 00 TO 12 2 25.00 100 7800 4 2.00 70 000 8 2 000 1 866 00 (23 100) 16 35 00 16 1 635 00 47 43 00 Net Loss 4 9 7 4 0017 (23 100) 10 4 7 4 3 00 10 1635 00 47 43 00 20 20 Instructions: 1. Prepare an income statement for the month ended September 30 of the current year. 2. Calculate and record the ratios for total expenses and net loss. Place the percentage for net loss in parentheses to show that it is for a net loss. Round percentage calculations to the nearest 0.1%. 3. Prepare a balance sheet for September 30 of the current year