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Please help!! Im stuck when it comes to the Balance Sheet. Question 1 Blossom Company, a ski tuning and repair shop, opened on November 1,
Please help!! Im stuck when it comes to the Balance Sheet.
Question 1 Blossom Company, a ski tuning and repair shop, opened on November 1, 2016. The company carefully kept track of all its cash receipts and cash payments. The following information is available at the end of the ski season, April 30, 2017 Cash Cash Receipts Payments Issuance of common shares $20,800 Payment to purchase repair shop equipment $9,060 Payments to landlord Newspaper advertising payment Utility bill payments Part-time helper's wage payments Income tax payment 10,900 Cash receipts from ski and snowboard repair services 31,100 Subtotals 51,900 24,695 Cash balance $51,900 $51,900 2,250 27,205 Totals The repair shop equipment was purchased on November 1 and has an estimated useful life of 5 years. Lease payments to the landlord are made at the beginning of each month. The payments to the landlord included a security deposit of $170. The part-time helper is owed $445 at April 30, 2017, for unpaid wages. At April 30, 2017, customers owe Blossom Company S485 for services they have received but have not yet paid for Prepare an accrual-basis income statement for the 6 months ended April 30, 2017. BLOSSOM COMPANY Income Statement For the Six Months Ended April 30, 2017 Revenues | Service Revenue Service Revenue 1585 Expenses Depreciation Expense 906 T Advertising Expense 345 Utilities Expense 950 1 Salaries and Wages Expense T 2695 Income Tax Expense 10900 Rent Expense 1020 Total Expenses 16816 Net Income / (Loss) 14769 BLOSSOM COMPANY Balance Sheet Assets Liabilities and Stockholders' EquityStep by Step Solution
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