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Rachel's Enterprises Solutions Income Statement As of March 31, 2021 Revenue and Gains Sales 376,000 Sales Discount -1,900 Sales Allowance -1,700 Consulting Services Revenue 96,000

Rachel's Enterprises Solutions
Income Statement
As of March 31, 2021
Revenue and Gains
Sales376,000
Sales Discount-1,900
Sales Allowance-1,700
Consulting Services Revenue96,000
Consulting Service Revenue14,000
Rent Revenue20,000
Interest Income250
Gain on Sale of Equipment2,500
Loss on Disposal-3,000
Total Revenue502,150
Expenses
Cost of Goods Sold178,400
Purchases142,000
Purchase Discount1,800
Purchase Return-4,000
Freight In2,700
Salary Expense30,000
Repair Expense6,000
Advertising Expense6,500
Interest Expense11,064
Taxes Expense19,000
Entertainment Expense250
Travel Expense265
Miscellaneous Expense100
Postage Expense190
Legal Fees1,500
Utilities Expense7,500
Mileage Expense2,500
Depreciation Expense13,938
Amortization Expense500
Bad Debts Expense2,150
Supplies Expense7,400
Rent Expense7,500
Insurance Expense2,250
Total Expenses439,507
Net Income Before Income Tax62,643
Income Tax (21%)13,155
Net Income49,488

Prepare a Statement of Retained Earnings and Balance Sheet in good form

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image text in transcribedimage text in transcribed
Cash Accounts Receive Notes Receivable Uncollectable A0 Petty Cash Fund Building Equipment Inventory Purchases Intangible Asset Supplies Accounts Payable Taxes Payable Wages Payable Mortgage Payabl Short Term Note: Dividends Payabl Capital Stock Paid In Capital Retained Earning Sales Treasury Stock Purchase Discom Consulting Servic Unearned Revenl Rent Revenue Unearned Consul Interest Income Gain on Sale of E Cost of Good Sol: Freight In Sales Discount Salary Expense Repair Expense Advertising Expel 277,250 54,000 0 -2,150 1,500 351,300 40,000 -173,400 142,000 -500 3,400 -10,900 12,200 10,300 -271,939 30,000 0 -90,000 97,000 10,500 -3?6,000 14,000 1.300 -96.000 5,000 -20,000 5,000 -250 -2,500 173,400 2,700 1,900 30,000 6,000 6,500 -7,400 277,250 54,000 0 -2,150 1,500 351,300 -40,000 473,400 142,000 500 1,000 -10,900 12,200 10,300 -271,939 30,000 0 -90,000 97,000 10,500 373,000 14,000 1,300 95,000 5,000 -20,000 5,000 -250 -2,500 173,400 2,700 1,900 30,000 5,000 6,500 Accrued Advertis -5,000 -5,000 Interest Expense 9,189 1,875 11,064 Taxes Expense 10,100 8,900 19,000 Sales Allowance 1,700 1,700 Entertainment Ex 250 250 Travel Expense 265 265 Miscellaneous Ex 100 100 Postage Expense 190 190 Cash Short or Ov 55 55 Legal Fees 1,500 1,500 Purchase Return -4,000 -4,000 Utilities Expense 7,500 7,500 Mileage Expense 2,500 2,500 Accumulated Del 25,000 -13,938 11,062 Loss on Disposal 3,000 3,000 Depreciation Expense 13,938 13,938 Amortization Expense 500 500 Bad Debts Expense 2,150 2,150 Accrued Salaries Expense -15,500 -15,500 Accrued Taxes Expense -8,900 -8,900 Supplies Expense 7,400 7,400 Rent Expense 7,500 7,500 Prepaid Rent -7,500 -7,500 Consulting Service Revenue -14,000 -14,000 Insurance Expense 2,250 2,250 Prepaid Insurance -2,250 -2,250 Accrued Interest Income 175 175 Accrued Interest Expense -1,875 -1,875 Total 209,910 -26675 183,235

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