The amounts of the assets and liabilities of Wilderness Travel Service at April 30, 20Y5, the end of the year, and its revenue and expenses for the year are listed below. The capital of Harper Borg, owner, was $49,420 at May 1, 20Y4, the beginning of the year, and the owner withdrew $26,200 during the year.

Accounts payable	$16,570
Accounts receivable	88,720
Cash	179,080
Fees earned	650,200
Miscellaneous expense	5,190
Rent expense	86,480
Supplies	7,710
Supplies expense	13,840
Taxes expense	10,000
Utilities expense	51,890
Wages expense	247,080

Required:

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1. Prepare an income statement for the year ended April 30, 20Y5.

Accounts receivableCashFees earnedHarper Borg, capitalHarper Borg, drawingNet incomeWages expenseFees earned		$Fees earned
Expenses:
Accounts payableCashFees earnedHarper Borg, capitalHarper Borg, drawingSuppliesWages expenseWages expense	$Wages expense
Accounts payableAccounts receivableFees earnedHarper Borg, capitalNet incomeRent expenseSuppliesRent expense	Rent expense
Accounts payableAccounts receivableCashFees earnedHarper Borg, capitalSuppliesUtilities expenseUtilities expense	Utilities expense
Accounts receivableCashFees earnedNet LossHarper Borg, drawingSupplies expenseSuppliesSupplies expense	Supplies expense
Accounts receivableCashFees earnedNet LossHarper Borg, drawingTaxes expenseSuppliesTaxes expense	Taxes expense	blank
Accounts payableAccounts receivableCashFees earnedHarper Borg, capitalHarper Borg, drawingMiscellaneous expenseMiscellaneous expense	Miscellaneous expense
Total expenses		fill in the blank ddf4aef6afbb02b_15
Accounts payableCashFees earnedNet incomeNet lossNet income		$Net income

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1. An income statement reports the revenues and expenses. When revenues are larger than the expenses, the difference is net income.

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2. Prepare a statement of owner's equity for the year ended April 30, 20Y5.

Harper Borg, capital, May 1, 20Y4Harper Borg, capital, April 30, 20Y5CashWithdrawalsNet income for the yearHarper Borg, capital, May 1, 20Y4		$Harper Borg, capital, May 1, 20Y4
Harper Borg, capital, May 1, 20Y4Harper Borg, capital, April 30, 20Y5CashWithdrawalsNet income for the yearNet income for the year	$Net income for the year
Harper Borg, capital, May 1, 20Y4Harper Borg, capital, April 30, 20Y5CashWithdrawalsNet income for the yearWithdrawals	Withdrawals
Increase in owner's equityDecrease in owner's equityCashWithdrawalsNet income for the yearIncrease in owner's equity		Increase in owner's equity
Harper Borg, capital, May 1, 20Y4Harper Borg, capital, April 30, 20Y5CashWithdrawalsNet income for the yearHarper Borg, capital, April 30, 20Y5		$Harper Borg, capital, April 30, 20Y5

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2. Follow Example Exercise 1-5. Recall that the statement of owner's equity considers additional investments of the owner and net income for the year and withdrawals to calculate the ending capital.

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3. Prepare a balance sheet as of April 30, 20Y5. When entering assets, enter them in order of liquidity.

Assets
Accounts payableCashFees earnedRent expenseHarper Borg, capitalHarper Borg, drawingCash	$Cash
Accounts payableAccounts receivableFees earnedHarper Borg, drawingHarper Borg, capitalWages expenseAccounts receivable	Accounts receivable
Accounts payableHarper Borg, capitalHarper Borg, drawingSupplies expenseSuppliesUtilities expenseSupplies	Supplies
Total assets	$fill in the blank 0d33edff8fd8fbf_7
Liabilities
Accounts payableAccounts receivableCashFees earnedHarper Borg, drawingHarper Borg, capitalAccounts payable	$Accounts payable
Owner's Equity
Accounts payableAccounts receivableCashHarper Borg, capitalHarper Borg, drawingWages expenseHarper Borg, capital	Harper Borg, capital
Total liabilities and owner's equity	$fill in the blank 0d33edff8fd8fbf_12