The completed worksheet for Chavarria Corporation as of December 31, 20X1, after the company had completed the first month of operation, appears below.
Required: Prepare an income statement. Prepare a statement of owners equity. The owner made no additional investments during the month. Prepare a balance sheet.
Analyze: If the adjustment to Prepaid Advertising had been $6,800 instead of $3,400, what net income would have resulted?
The completed worksheet for Chavarria Corporation as of December 31, 20X1, after the company had completed the first month of operation, appears below. Account Name Cash Accounts receivable Supplies Prepaid advertising Equipment Accumulated depreciation-Equipment Accounts payable Isabel Chavarria, Capital Isabel Chavarria, Drawing Fees income Supplies expense Advertising expense Depreciation expense-Equipment Salaries expense Utilities expense Totals Net income CHAVARRIA CORPORATION Worksheet Month Ended December 31, 20X1 Adjusted Trial Trial Balance Adjustments Balance Debit Credit Debit Credit Debit Credit 78,200 78,200 13,000 13,000 12,100 7,000 5,100 20,400 3,400 17,000 85,000 85,000 1,700 1,700 13,000 13,000 109,000 109,000 8,200 8,200 115,500 115,500 7,000 7,000 3,400 3,400 1,700 1,700 17,800 17,800 2,800 2,800 237,500 237,500 12,100 12,100 239,200 239,200 Income Statement Balance Sheet Debit Credit Debit Credit 78, 200 13,000 5,100 17,000 85,000 1,700 13,000 109,000 8,200 115,500 7,000 3,400 1,700 17,800 2,800 32,700 115,500 206, 500 123, 700 82,800 82,800 115,500 115,500 206,500 206,500 Required: 1. Prepare an income statement. 2. Prepare a statement of owner's equity. The owner made no additional investments during the month. 3. Prepare a balance sheet. Analyze: If the adjustment to Prepaid Advertising had been $6,800 instead of $3,400, what net income would have resulted? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Analyze Prepare an income statement. CHAVARRIA CORPORATION 115, SUU 206,5 Required: 1. Prepare an income statement. 2. Prepare a statement of owner's equity. The owner made no additional investments during the month. 3. Prepare a balance sheet. Analyze: If the adjustment to Prepaid Advertising had been $6,800 instead of $3,400, what net income would have resulted? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Analyze Prepare an income statement. CHAVARRIA CORPORATION Income Statement Month Ended December 31, 20X1 Revenue Expenses Total expenses 0 $ 0 Analyze: If the adjustment to Prepaid Advertising had been $6,800 instead of $3,400, what net income would have resulted? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Analyze If the adjustment to Prepaid Advertising had been $6,800 instead of $3,400, what net income would have resulted? Net income
