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please help with final question. everything else has been solved except for income tax expense Thank you! this is what its asking for Bill's Boards
please
help with final question. everything else has been solved except for income tax expense
Thank you!
this is what its asking for
Bill's Boards (BB) is an outdoor advertising company founded by William Longfall. William knows very little accounting so he hired a friend to "keep the books." Unfortunately, William did not review his Supplies BB still has supplies costing $210 on hand on September 30 . Equipment 5,600 BB bought scaffolding and billboards in October last year. Accumulated Depreciation \$0 Because the equipment was bought at the beginning of the fiscal year, no depreciation is carried forward from prior years. Accounts Payable 2,020 BB purchased and received $2,020 of supplies used for creating advertising displays. The supplier is to be paid in October. Deferred Revenue 1,260 This balance relates to $1,260 cash paid by a customer in August for advertising from september 1-November 30 . Salaries and Wages 0 BB employees are still waiting to be paid Payable for the last half of September. Income Tax Payable 320 BB hasn't paid the $320 tax owed from the last fiscal year. Common stock 1,520 BB has issued 3,020 shares for $1,520 Retained Earnings 5,720 BB started business a few years ago, so this is the total accumulated earnings up to October 1 of last year. Service Revenue 60,560 BB has provided $3,020 of services for which it hasn't yet billed customers or recorded in its accounting records. Salaries and wages 47,100 BB employees earn $5,100 per month. The Expense employees were paid in fuil on August p1, and were paid again on september 15. Depreciation Expense 0 About $1,400 of the usefulness of the equipment's $5,600 cost has been used up during the current fiscal year. Rent Expense 320 BB incurs a small cost to rent the land on which its billboards are located. Rent for the current year has been paid in fuil. Supplies Expense 3,320 BB accountant expensed $3,320 of supplies purchased during the year because he assumed the supplies would be completely used by year-end. As noted above, he was wrong. Income Tax Expense BB tax rate is 208 of income before tax. Totals Journal entry worksheet 1 2 3 ( 5 6 7 Record the entry to accrue income taxes for the year. Note: Enter debits before credits Step by Step Solution
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