1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
kondor19780726 [428]
3 years ago
15

The assets and liabilities of Thompson Computer Services at March 31, the end of the current year, and its revenue and expenses

for the year are listed below.
Accounts payable $2,000 Miscellaneous expense $1,030
Accounts receivable 10,340 Office expense 1,240
Cash 21,420 Supplies 1,670
Fees earned 73,450 Wages expense 23,550
Land 47,000 Dividends 16,570
Building 157,630

The common stock was $120,000 and the retained earnings were $60,000 at April 1, the beginning of the current year. During the year, shareholders purchased an additional $25,000 in stock. Use this information to answer the questions that follow.

a. Prepare an income statement for the current year ended March 31.
b. Prepare a statement of retained earnings for the current year ended March 31.
c. Prepare a balance sheet for Thompson's Computer Service.
Business
1 answer:
Reika [66]3 years ago
4 0

Answer: Please see explanation column for answers

Explanation: Given Revenue and expenses

Accounts payable $2,000     Miscellaneous expense $1,030, Accounts receivable 10,340        Office expense 1,240

  Cash 21,420,                       Wagesexpense 23,550                       Supplies 1,670  Land 47,000,  Building 157,630,  Dividends 16,570, Fees earned 73,450    

a. income statement for the current year ended March 31.

Fees earned = Revenue

Fees earned                                              73, 450

Expenses Incurred

Wages expense                     -$23,550      

Miscellaneous expense       -  $1,030

Office expense                        -$1,240

Total Expenses                                             25,820

Net income                                                   $47,630

Working : Net income = fees earned ( Revenue )- Total expenses =

$73,450 - $25,820 = $47,630

2.statement of retained earnings for the current year ended March 31.

Retained earning  at April 1ST               $60,000

Net income                                                  $47,630

Dividend                                                       $16,570

Retained earnings                                        $91,060

Working

Retained earning = Retained earning from april 1st + Net income -- Dividend

$60,000 + $47,630) - $16,570 = $91,060

3.

A balance sheet is a company's financial statement that shows its assets, liabilities and shareholders' equity to illustrate  the financial position of the company showing what the company has as its assets, n  is owing , and  the amount  liable to shareholders.at a particular  time. In a balance sheet,  Assets  must equal Liabilities and Shareholders’ Equity..

Balance sheet for Thompson's Computer Service.

Current assets

Cash                                                        $21,420

Account receivables                               $10,340  

Supplies                                                    $1,670

Total current assets $33,430

Property land and equipment

Land                                                           $47,000

Building                                                    $ 157,630

Total Property land and equipment       $204,630

Total assets                                               $238,060                                    

Liabilities and equity

Accounts payable                                              $2,000      

Stock holder's equity    

Common stock                                                 $145,000

Retained earnings                                             $91,060

Stock holder's equity                                      $236,000

Total Stock holder's equity and Liabilities      $ 238,060

we can see in the balance sheet that Stock holder's equity and Liabilities = Total Assets

You might be interested in
On January 1, 2021, Gundy Enterprises purchases an office building for $151,000, paying $41,000 down and borrowing the remaining
Nataly_w [17]

Answer:Gundy Enterprise journal $

Date

Jan 31 2021

Income statementl Dr 641.67

Mortage Interest. Cr. 641.67

Recognition of interest payable on mortgage loan for December 2021

Jan 31 2021

Mortgage principal Dr 635.52

Mortgage interest Dr. 641.67

Bank Cr. 1277.19

Narration.payment of principal and interest Interest due on mortgage loan as at January 31 2021.

Explanation:

The monthly installment payments of $1277.19 consist of both the principal sum and accompanying monthly interest.

The interest needs to be first recognized as an expenses into the income statement and increase in the mortgage loan. This will prevent an over deduction on the mortgage loan.

4 0
3 years ago
An Internet business prides itself in its ability to fill customer’s orders in six calendar days or less on average. Periodicall
LenaWriter [7]

Answer:

Answer is explained in the attachment.

Explanation:

Download pdf
3 0
3 years ago
It is always possible to identify all the causes of a problem completely. please select the best answer from the choices provide
Rasek [7]

It false that the causes of a problem can always possible to identify completely.

<h3>What is problem solving?</h3>

This is defined as the process of finding solution to a task that seems difficult. It is a skill, hence applied after a problem has been identified.

Hence, It false that the causes of a problem can always possible to identify completely.

Learn more about problem solving here : brainly.com/question/23945932

#SPJ4

8 0
2 years ago
In eight years, when he is discharged from the Air Force, Steve wants to buy a $30,000 power boat. Click here to view Exhibit 12
IceJOKER [234]

Answer:

The correct answer is:

(1) $15,054

(2) $12,990

Explanation:

The required table is not given in the question. Please find below the attachment of the table.

Given:

Future value,

= $30,000

If discounting rate is 9%, the present value will be:

= Future \ value\times PV \ factor(9 \ percent, 8 \ years)

= 30000\times (\frac{1}{1.09} )^8

= 30000\times 0.5018

= 15,054 ($)

If discounting rate is 11%, the present value will be:

= Future \ value\times PV \ factor(11 \ percent, 8 \ years)

= 30000\times (\frac{1}{1.11} )^6

= 30000\times 0.433

= 12,990 ($)

8 0
3 years ago
All of the following are necessary to calculate the total purchase price for a municipal bond traded on a yield basis in the sec
ahrayia [7]

Answer: The response options are wrong, those that correspond according to what I found on the internet are:

All of the following are necessary to calculate the total purchase price for a Municipal bond traded on a yield basis in the secondary market EXCEPT:

A. Coupon rate

B. Yield to Maturity

C. Dated date

D. Trade date

<u>The correct answer is "C. Dated date".</u>

<u>Option "C" is correct because to calculate the price of a bond it is not necessary the day of issuance of the bond, is enough with its YIELD TO MATURITY, RATE CUPON AND YEARS TO MATURITY.</u>

7 0
3 years ago
Other questions:
  • Starbucks has hired you to make a systematic inventory of its competitive capabilities. To do so, you would conduct an assessmen
    10·1 answer
  • Which of the following statements about social media is FALSE? Multiple Choice Social media can lead to hiring discrimination by
    7·1 answer
  • A business model describes how a company​ produces, delivers, and sells a product or service to create wealth.
    6·1 answer
  • You have an opportunity to invest in Australia at an interest rate of 8%. Moreover, you expect the Australian dollar (A$) to app
    12·1 answer
  • Keithomp, a company that manufactures and exports candies, sells different flavors of candy depending on the taste preferences o
    7·1 answer
  • Amherst City provides a defined benefit pension plan for employees of the city electric utility, an enterprise fund. Assume that
    8·1 answer
  • Change in supply or change in quantity supplied
    11·1 answer
  • Scenario
    7·2 answers
  • Francine wants to become a school counselor. Which is the academic requirement for this career?
    15·2 answers
  • A corporation issued 2,500 shares of its no par common stock at a cash price of $11 per share. The entry to record this transact
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!