Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please solve for the income statement, I'm stuck at c). thank you! Aug. 1 R. Stokes invested $35 000 cash to begin the business. 1

please solve for the income statement, I'm stuck at c). thank you!
image text in transcribed
Aug. 1 R. Stokes invested $35 000 cash to begin the business. 1 Purchased equipment for $2000 cash. 1 Purchased an automobile from Desmond Motors for $30 000 cash. 5 Received $700 cash from customers taking driving lessons. 7 Paid instructor's wage of $400 for the first week. 9 Paid $145 by cheque to the telephone company. 10 Received $800 cash from customers taking driving lessons. 11 Issued a bill of $100 to L. Starr, who received lessons but will pay at a later date. 11 Received a bill for $90 from Grant's Esso for gas and oil used by the car. 12 Paid $195 by cheque for hydro. 13 Sent a $290 cheque to the Daily Star for advertising space. 14 Received $100 cash from L. Starr in payment of a bill sent previously 14 Paid instructor's wage of $400 for the week. b) Calculate the balance in the accounts and prepare a trial balance c) Prepare an Income Statement for the 2 weeks ended August 14th, 2021

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Issues In Management Accounting

Authors: David Ashton

2nd Edition

0131892509, 978-0131892507

More Books

Students also viewed these Accounting questions

Question

explain the stakeholder theory of the firm

Answered: 1 week ago