Answered step by step
Verified Expert Solution
Question
1 Approved Answer
These items are taken from the financial statements of Cullumber Corporation for the year ended December 31, 2021: Retained earnings, January 1 $214,000 Cash 14,900
These items are taken from the financial statements of Cullumber Corporation for the year ended December 31, 2021:
Retained earnings, January 1 | $214,000 | ||
Cash | 14,900 | ||
Salaries payable | 3,000 | ||
Utilities expense | 2,000 | ||
Equipment | 58,500 | ||
Accounts payable | 17,000 | ||
Buildings | 63,500 | ||
Common shares | 35,700 | ||
Dividends declared | 4,000 | ||
Service revenue | 212,900 | ||
Prepaid insurance | 2,500 | ||
Repairs and maintenance expense | 2,800 | ||
Land | 174,000 | ||
Depreciation expense | 5,700 | ||
Accounts receivable | 13,700 | ||
Insurance expense | 1,700 | ||
Salaries expense | 124,300 | ||
Accumulated depreciationequipment | 17,600 | ||
Income tax expense | 6,000 | ||
Supplies | 200 | ||
Operating expense | 39,400 | ||
Supplies expense | 1,000 | ||
Bank loan payable, due 2024 | 15,500 | ||
Trading investments | 18,000 | ||
Accumulated depreciationbuildings | 17,500 | ||
Interest expense | 1,500 | ||
Interest revenue | 500 |
Additional information:
1. | Cullumber started the year with $31,000 of common shares and issued $4,700 more during the year. |
2. | Cullumber must pay $1,500 of the bank loan payable next year in 2022. |
Prepare a statement of income for the year.
Prepare a statement of income for the year. CULLUMBER CORPORATION Statement of Income For the Year Ended December 31, 2021 $ $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