The adjusted trial balance of Karise Repairs on December 31 follows. Required 1. Prepare an income statement
Question:
The adjusted trial balance of Karise Repairs on December 31 follows.
Required
1. Prepare an income statement and a statement of owner’s equity for the year, and a classified balance sheet at December 31. The C. Karise, Capital account balance was $33,000 on December 31 of the prior year, and there were no owner investments during the current year.
2. Prepare the December 31 closing entries.
Adjusted Trial Balance December 31 No. Account Title Debit Credit $ 14,000 Cash ....... Office supplies. 101 124 1,300 128 Prepaid insurance 2,050 167 Equipment .... 50,000 $ 5,000 Accumulated depreciation-Equipment. Accounts payable.. Wages payable.... C. Karise, Capital C. Karise, Withdrawals Services revenue 168 201 14,000 210 600 301 33,000 302 16,000 403 90,950 612 Depreciation expense-Equipment. 5,000 623 Wages expense Insurance expense.. Rent expense.. 37,500 637 800 640 10,600 650 Office supplies expense.. 3,600 690 Utilities expense... 2,700 Totals. $143,550 $143,550
Step by Step Answer:
4 In case we consider 800 as prepaid insurance expense the net income will be reduced by 800 and th...View the full answer
Related Video
A trial balance is a list of all the general ledger accounts contained in the ledger of a business. This list will contain the name of each nominal ledger account and the value of that nominal ledger balance. Each nominal ledger account will hold either a debit balance or a credit balance
Students also viewed these Business questions
-
The adjusted trial balance of Karise Repairs on December 31, 2017, follows. Required 1. Prepare an income statement and a statement of owner's equity for the year 2017, and a classified balance sheet...
-
The adjusted trial balance of Karise Repairs on December 31, 2013, follows. Required 1. Prepare an income statement and a statement of owners equity for the year 2013, and a classified balance sheet...
-
The adjusted trial balance of Karise Repairs on December 31, 2013, follows. Required 1. Prepare an income statement and a statement of owners equity for the year 2013, and a classified balance sheet...
-
If a natural disaster, such as the 2010 drought in Russia, hits food production, use supply and demand analysis to figure out how this affects consumers and producers. Does everyone lose or are some...
-
The formula for the coefficient of performance when we use cold air properties is not given in the text. Derive the expression for COP as function of the compression ratio similar to how the Brayton...
-
From the point of view of a creditor, what are the advantages of having a note receivable over having an account receivable?
-
Why does an exchange difference arise and how it is recognised under the temporal method of translation used to translate financial statements of foreign operations?
-
American Bikes manufactures custom motorcycle racing equipment and parts. The company engages in the following activities (not in sequence): a. Shipping product to the customer b. Processing mail-in...
-
after determing a reported vulnerability was a credible claim the product security incident response team worked with develpment teams to create and test a patch. the patch is schedule t obe released...
-
Prove the following assertion: for every game tree, the utility obtained by MAX using mini max decisions against a suboptimal MIN will be never be lower than the utility obtained playing against an...
-
Set up T-accounts for the following accounts and amounts with normal balances as of December 31: K. Korver, Capital $18,000; K. Korver, Withdrawals $2,000; Services Revenue $33,000; Salaries Expense...
-
The adjusted trial balance for Anara Co. on December 31 of the current year follows. Petra Anara invested $40,000 cash in the business during the year. The P. Anara, Capital account balance was...
-
From candy to jewelry to flowers, the average consumer was expected to spend $123.89 for Mothers Day 2009, according to an April 2009 National Retail Federations survey. Local merchants felt this...
-
The following information is taken from the book of Barreto Resources Berhad for the month of June 2019. Cash Accounts Receivable Prepaid Insurance Prepaid Rent Supplies Equipment Vehicle Accounts...
-
Ms. Planner is in the 25% tax bracket and itemizes on her tax return. She plans to make a charitable contribution of $12,000 to her alma mater this year. What is the net cost of this contribution to...
-
Sheetal is a sole proprietor who has some outstanding receivables to sell. The receivables have a $16,000 FMV and a basis of $10,000. Sheetal sells the receivables for $12,500. What gain or loss is...
-
W hat would be your critical recommendations to establish sound financial controls ? Explain
-
Alex Berger, a retired building contractor, earned the following income during the current year: Director's fee received from Keith Realty Corp. $ 600 Executor's fee received from the estate of his...
-
Prove that the minimal polynomial of an n n matrix has degree at most n (not n2 as a person might guess from this subsection's opening). Verify that this maximum, n, can happen.
-
Experiment: Tossing four coins Event: Getting three heads Identify the sample space of the probability experiment and determine the number of outcomes in the event. Draw a tree diagram when...
-
Xion Co. budgets a selling price of $80 per unit, variable costs of $35 per unit, and total fixed costs of $270,000. During June, the company produced and sold 10,800 units and incurred actual...
-
Lewis Co. reports the following results for May. Prepare a flexible budget report showing variances between budgeted and actual results. List variable and fixed expenses separately, and indicate...
-
A manufactured product has the following information for August. Compute the (1) Standard cost per unit, (2) Total budgeted cost for production in August, (3) Total cost variance for August. Indicate...
-
2. We have our measurement apparatus set in position 0 i.e. to measure in the standard basis. The measurement apparatus is now rotated by 90 (a) what are the basis vectors associated with the rotated...
-
Consider the Time Sheet case study application. 1. Give a diagram for the three-layer application architecture discussed in class. Explain the role of each layer and discuss the types of classes...
-
Trace the program and write the output, assume the user enters 83,77, 92,-1: import java.util.*; public class KnowingGrade { public static void main(String[] args) { Scanner input= new...
Study smarter with the SolutionInn App