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Po Exercise 3 - 5 ( Algo ) Determine the amount of net income ( LO 3 - 1 ) During the course of your
Po
Exercise Algo Determine the amount of net income LO
During the course of your examination of the financial statements of Trojan Corporation for the year ended December you come across several items needing further consideration. Currently, net income is $
An insurance policy covering months was purchased on October for $ The entire amount was debited to Prepaid Insurance and no adjusting entry was made for this item in
During the company received a $ cash advance from a customer for services to be performed in The $ was incorrectly credited to Service Revenue.
Purchases of supplies during the year were incorrectly recorded to Supplies Expense. You discover that supplies costing $ were on hand at December
Trojan borrowed $ from a local bank on September Principal and interest at will be paid on August No accrual was made for interest in
Required:
Using the information in through above, determine the proper amount of net income as of December Do not round intermediate calculations. Amounts to be deducted should be indicated with a minus sign.
tableNet income unadjusted$ Adjustment for insurance,, Adjustment for deferred revenue,, Adjustment for supplies,, Adjustment for interest,,Net income adjusted$
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