Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Stacey's Piano Rebuilding Company has been operating for one year (2010). At the start of 2011, its income statement accounts had zero balances and its

image text in transcribed

image text in transcribed

image text in transcribed

Stacey's Piano Rebuilding Company has been operating for one year (2010). At the start of 2011, its income statement accounts had zero balances and its balance sheet account balances were as follows: Cash Accounts receivable Supplies Equipment Land Building $ 6,500 Accounts payable 30,500 Unearned fee revenue (deposits) 1,480 Note payable long-term) 9,900 Contributed capital 7.600 Retained earnings 26,800 $ 8.900 3.840 47,600 7.900 14,540 a. Rebuilt and delivered five pianos in January to customers who paid $18.800 in cash. b. Received a $560 deposit from a customer who wanted her piano rebuilt. c. Rented a part of the building to a bicycle repair shop, received $910 for rent in January. d. Received $7.500 from customers as payment on their accounts. e. Received an electric and gas utility bill for $480 to be paid in February. f Ordered $870 in supplies. 9. Paid $1,440 on account in January. h. Received from the home of Stacey Eddy, the major shareholder, a $930 tool (equipment) to use in the business. i Paid $14.800 in wages to employees who worked in January. ; Declared and paid a $2,100 dividend. k. Received and paid cash for the supplies in (1). -Using the data from the T-accounts, determine amounts for the following on January 31, 2011. (Input all amounts as positive values. Omit the "S" sign in your response.) Revenues $ - Expenses = Net income $ Assets = Liabilities $ + Stockholder's equity $ . What is net income if Stacey's used the cash basis of accounting? (Omit the "$" sign in your response.) Net income si

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Students also viewed these Accounting questions