Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

[The following information applies to the questions displayed below] Tunstall, Inc., a small service company. keeps its records without the help of an accountant. After

image text in transcribedimage text in transcribedimage text in transcribed

[The following information applies to the questions displayed below] Tunstall, Inc., a small service company. keeps its records without the help of an accountant. After much effort, an outside accountant prepared the following unadjusted trial balance as of the end of the annual accounting period on December 31: Account Titles Credit $ 46,000 10,600 Accounts receivable Supplies Prepaid insurance Service trucks Accumulated depreciation Other assets Accounts payable Wages payable Income taxes payable Note payable (3 years: 10% interest due each December 31) Common stock [4,000 shares outstanding) Add tional paid-in cepital Retained earnings Service revenue $ 8,000 9,760 2,390 16.000 1.876 6,884 5,600 66,400 Remaining expenses not deta led; excludes income tax) Income tax expense Totals 33,320 117.150 117,150 Data not yet recorded at December 31 included: a. The supplies count on December 31 reflected $160 in remaining supplies on hand to be used in the next year. b. Insurance expired during the current year, $640. c. Depreciation expense for the current year, $3.900. d. Wages earned by employees not yet paid on December 3, $560. e. Income tax expense, $5,680 2-a. Prepare an income statement that include the effects of the preceding five transactions. (Round "Earnings per share" to 2 decimal places.) TUNSTALL, INC Income Statement Earnings per share 2-b. Prepare a classified balance sheet that include the effects of the preceding five transactions. (Amounts to be deducted should be indicated by a minus sign.) TUNSTALL, INC Balance Sheet 0

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Ethics Management Auditing And Developing The Ethical Content Of Organizations

Authors: S.P. Kaptein

1st Edition

0792350960, 978-0792350965

More Books

Students also viewed these Accounting questions

Question

What are the objectives of performance appraisal ?

Answered: 1 week ago

Question

State the uses of job description.

Answered: 1 week ago

Question

Analyze the impact of labor unions on health care.

Answered: 1 week ago

Question

Assess three motivational theories as they apply to health care.

Answered: 1 week ago

Question

Discuss the history of U.S. labor unions.

Answered: 1 week ago