Income statement and balance sheet excerpts of Shevlin and Liberty for the period ending December 31, 2018,
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INCOME STATEMENT EXCERPTS $48,000 Sales Cost of goods sold 30,000 $18,000 Gross profit $4,000 Salaries and wages expense Advertising expense 1,000 Depreciation expense 2,000 7,000 $11,000 Net income BALANCE SHEET EXCERPTS 2017 2018 $ 5,000 $4,000 Accounts receivable Unearned revenues 3,000 Inventory 11,000 9,000 Accounts payable 4,000 3,000 Salaries and wages payable 1,800 900 Prepaid advertising 3,000 1,200 Accumulated depreciation 5,000 3,000
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