Michael Don owns an equipment hire business under the name Safety Hire. Financial data for Safety Hire
Question:
Michael Don owns an equipment hire business under the name Safety Hire. Financial data for Safety Hire as of 30 June 2019 are shown as below:.
Account | Balance ($) |
Accounts receivable | 73,000 |
Wages expense | 78,000 |
Equipment hire income | 200,000 |
Advertising expense | 32,000 |
Rent revenue | 9,000 |
Prepaid insurance | 9,000 |
Accounts payable | 88,000 |
Insurance expense | 7,000 |
Cash at bank | 48,000 |
Equipment | 190,000 |
Michael Don, capital | ? |
Required:
a) Prepare an income statement for the business for the year ending 30 June 2019.
b) Prepare a balance sheet in narrative format for Safety Hire as at 30 June 2019.
c) Prepare a statement of changes in Equity for the year and determine Michael Don’s capital at 30 June 2018?
International Business Law and its Environment
ISBN: 9781305972599
10th edition
Authors: Richard Schaffer, Filiberto Agusti, Lucien J. Dhooge