Answered step by step
Verified Expert Solution
Question
1 Approved Answer
[The following information applies to the questions displayed below. Ricky's Piano Rebuilding Company has been operating for one year. On January 1, at the start
[The following information applies to the questions displayed below. Ricky's Piano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had zero balances and its balance sheet account balances were as follows: Cash Accounts Receivable Supplies Equipment Land Building $ 6,250 Accounts Payable 31,500 Deferred Revenue (deposits) 2,400 Notes Payable (long-term) 15,200 Common Stock 8,250 Retained Earnings 12,900 $ 8,600 3,850 42,750 9,000 12,300 Following are the January transactions: a. Received a $950 deposit from a customer who wanted her piano rebuilt in February b. Rented a part of the building to a bicycle repair shop: $370 rent received for January c. Delivered five rebuilt pianos to customers who paid $19,600 in cash. d. Delivered two rebuilt pianos to customers for $9,700 charged on account. e. Received $8,650 from customers as payment on their accounts. f. Received an electric and gas utility bill for $825 for January services to be paid in February g. Ordered $1,125 in supplies. h. Paid $3,250 on account in January i. Paid $12,500 in wages to employees in January for work done this month. j. Received and paid cash for the supplies in (9). Reg 5A Reg 5B Req 5C Prepare an income statement for the month ended and at January 31. RICKY'S PIANO REBUILDING COMPANY Income Statement Req 5A Req 5B Reg 5C Prepare a statement of retained earnings for the month ended and at Jan RICKY'S PIANO REBUILDING COMPANY Statement of Retained Earnings Retained Earnings, January 1 Retained Earnings, January 31 Balance Sheet
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started