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Question 3 (25 marks) Envoi was formed on January 1, 2016, when Envol issued common shares for $500,000. Early in January 2016, Envol made the

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Question 3 (25 marks) Envoi was formed on January 1, 2016, when Envol issued common shares for $500,000. Early in January 2016, Envol made the following cash payments # $250,000 for equipment b. $200,000 for inventory four cars at 550.000 c. $10,000 for 2016 rent on a store buding In February 2016, Envolyurchased cars for enton or accoung cost of this inventory way $260,000 (543,333 33 each). Before yearend, Esos pod of this deat. Envoi uses the FIFO method to account for inventory During 2016, vol so eight vintage autos e out of Sto.o. Betope your end, shvol collected 20% of his amount The business ernploys three people. The combined part 535,00, of nigh Ervi owes $4,000 at year end. As the end of the year-obi pad income 4510,000 Late in 2016, Envoi deciated and paid cash dividends of S$1,000, For equipment, Envoi uses the straight-line depreciatioh med suer with rero residual value Requirements 1. Prepare Envoi's income statement for the Year ended December 31, 2016. Use the singe step format, with kevenues listed together and il experges listed together 1.022 words English (US) ons Capstone pro PPToot A Question 3 (25 marks) Envoi was formed on January 1, 2016, when Envol issued common shares for $500,000. Early in January 2016, Envol made the following cash payments # $250,000 for equipment b. $200,000 for inventory four cars at 550.000 c. $10,000 for 2016 rent on a store buding In February 2016, Envolyurchased cars for enton or accoung cost of this inventory way $260,000 (543,333 33 each). Before yearend, Esos pod of this deat. Envoi uses the FIFO method to account for inventory During 2016, vol so eight vintage autos e out of Sto.o. Betope your end, shvol collected 20% of his amount The business ernploys three people. The combined part 535,00, of nigh Ervi owes $4,000 at year end. As the end of the year-obi pad income 4510,000 Late in 2016, Envoi deciated and paid cash dividends of S$1,000, For equipment, Envoi uses the straight-line depreciatioh med suer with rero residual value Requirements 1. Prepare Envoi's income statement for the Year ended December 31, 2016. Use the singe step format, with kevenues listed together and il experges listed together 1.022 words English (US) ons Capstone pro PPToot A

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