Bennett's Home Renovations was started in 2008 by Jim Bennett. Jim operates the business from an office

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Bennett's Home Renovations was started in 2008 by Jim Bennett. Jim operates the business from an office in his home. Listed below, in alphabetical order, are the company's assets and liabilities as at December 31, 2014, and the revenues, expenses, and drawings for the year ended December 31, 2014:
Bennett's Home Renovations was started in 2008 by Jim Bennett.

Jim's capital at the beginning of 2014 was $45,850. He made no investments during the year.
Instructions
Prepare an income statement, statement of owner's equity, and balance sheet.
TAKING
IT FURTHER Why is it necessary to prepare the income statement first, then the statement of owner's equity, and the balance sheet last?

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...
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Related Book For  book-img-for-question

Accounting Principles Part 1

ISBN: 978-1118306789

6th Canadian edition

Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Kinnear, Joan E. Barlow

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