The amounts of the assets and liabilities of Utah Travel Service as of April 30, 20Y6, the

Question:

The amounts of the assets and liabilities of Utah Travel Service as of April 30, 20Y6, the end of the current year, and its revenue and expenses for the year are listed below. The retained earnings were $300,000, and the capital stock was $90,000 as of May 1, 20Y5, the beginning of the current year. Dividends of $75,000 were paid during the current year.

Accounts payable ...........$ 71,500

Accounts receivable .......... 188,100

Cash ................ 428,300

Fees earned .............. 1,594,200

Miscellaneous expense ......... 16,000

Rent expense ............... 226,800

Supplies ................. 20,100

Supplies expense ............ 42,600

Taxes expense ............. 33,600

Utilities expense ............ 135,000

Wages expense ............. 890,200

Instructions

1. Prepare an income statement for the current year ended April 30, 20Y6.

2. Prepare a retained earnings statement for the current year ended April 30, 20Y6.

3. Prepare a balance sheet as of April 30, 20Y6.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...