Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Prepare a Income Statement Based on the transactions Ruby provides office plants for rent under the business name of Leafy Hobart. She opened her business

Prepare a Income Statement Based on the transactions

image text in transcribed

Ruby provides office plants for rent under the business name of Leafy Hobart. She opened her business 1 March 2022. She contributed a computer system valued at $3,000 and shopfittings of $1 000 and deposited $2,000 cash in a business bank account. Transactions during March were: Mar 4 Took a five-year lease on a nursery site and paid the first 6 months of rent - $3000. 4 Purchased office supplies for $260 and paid $100 cash in part payment for these supplies. 6 Cash received for plant rentals - $1350. 6 Invoiced a customer for plant rentals - $200. Purchased gardening tools for $2 000, paying $400 cash with the balance to be paid later. 8 Cash revenue earned for plant rentals - $850. 11 Engaged a part time assistant at an agreed wage of $350 per week. 12 Paid petrol $50, postage $10, and electricity bill $230. 13 Cash of $1200 received for plants rentals. 13 Earned $450 for plant rentals on credit. 14 Paid the balance owing for office supplies purchased on 4 March. Ruby withdrew $100 for her own use. 15 16 Office supplies purchased for $250 on credit. 17 Cash revenue received $365. 18 Paid weekly wages to the assistant. 21 Revenue earned for plant rentals: cash $180, on credit $270. 23 Customer paid $650 of the plant rentals owing on credit. 24 Petrol expenses paid $35. 25 Paid weekly wages to the assistant. 28 Revenue earned for plant rentals - $490, receiving $100 in cash and the remainder to be paid later. 29 A customer paid $350 in advance for plant rent. The plants will not be delivered until next month. 31 Office supplies remaining $105

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

Software Reviews And Audits A How To Guide For Project Staff

Authors: Dr David Tuffley

1st Edition

1461130468, 978-1461130468

More Books

Students also viewed these Accounting questions

Question

Approaches to Managing Organizations

Answered: 1 week ago

Question

Communicating Organizational Culture

Answered: 1 week ago