Fred Severini opened SPARKLE Cleaning Service on July 1, 2016. During July, the company completed the...

   

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Fred Severini opened SPARKLE Cleaning Service on July 1, 2016. During July, the company completed the following transactions. July 1 Stockholders invested cash in the business in exchange for common stock. $15,000 $12,000 $1,800 $2,100 $4,400 $4,000 $2,000 $2,400 $2,200 1 Purchased a used cleaning truck on account. 3 Purchased cleaning supplies on account. Paid on a one-year insurance policy, effective July 1. 12 Billed customers for cleaning services. 18 Paid on amount owed on truck. Paid employee salaries. Collected from customers billed on July 12. 20 21 25 Billed customers for cleaning services. 31 Paid gasoline for the month on the truck. $500 31 Declared and paid a cash dividend. $600 The chart of accounts for SPARKLE Cleaning Service contains the following accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 128 Supplies, No. 130 Prepaid Insurance, No. 157 Equipment, No. 158 Accumulated Depreciation-Equipment, No. 201 Accounts Payable, No. 212 Salaries and Wages Payable, No. 311 Common Stock, No. 320 Retained Earnings, No. 332 Dividends, No. 350 Income Summary, No. 400 Service Revenue, No. 633 Gasoline Expense, No. 634 Supplies Expense, No. 711 Depreciation Expense, No. 722 Insurance Expense, and No. 726 Salaries and Wages Expense. Instructions: (d)(1) Prepare an income statement for the month ended July 31, 2016. SPARKLE CLEANING SERVICE Income Statement For the Month Ended July 31, 2016 (d)(2) Prepare a retained earnings statement for the month ended July 31, 2016. SPARKLE CLEANING SERVICE Retained Earnings Statement For the Month Ended July 31, 2016 (d)(3) Prepare a classified balance sheet for the month ended July 31, 2016. SPARKLE CLEANING SERVICE Balance Sheet July 31, 2016 Assets Liabilities and Stockholders' Equity Fred Severini opened SPARKLE Cleaning Service on July 1, 2016. During July, the company completed the following transactions. July 1 Stockholders invested cash in the business in exchange for common stock. $15,000 $12,000 $1,800 $2,100 $4,400 $4,000 $2,000 $2,400 $2,200 1 Purchased a used cleaning truck on account. 3 Purchased cleaning supplies on account. Paid on a one-year insurance policy, effective July 1. 12 Billed customers for cleaning services. 18 Paid on amount owed on truck. Paid employee salaries. Collected from customers billed on July 12. 20 21 25 Billed customers for cleaning services. 31 Paid gasoline for the month on the truck. $500 31 Declared and paid a cash dividend. $600 The chart of accounts for SPARKLE Cleaning Service contains the following accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 128 Supplies, No. 130 Prepaid Insurance, No. 157 Equipment, No. 158 Accumulated Depreciation-Equipment, No. 201 Accounts Payable, No. 212 Salaries and Wages Payable, No. 311 Common Stock, No. 320 Retained Earnings, No. 332 Dividends, No. 350 Income Summary, No. 400 Service Revenue, No. 633 Gasoline Expense, No. 634 Supplies Expense, No. 711 Depreciation Expense, No. 722 Insurance Expense, and No. 726 Salaries and Wages Expense. Instructions: (d)(1) Prepare an income statement for the month ended July 31, 2016. SPARKLE CLEANING SERVICE Income Statement For the Month Ended July 31, 2016 (d)(2) Prepare a retained earnings statement for the month ended July 31, 2016. SPARKLE CLEANING SERVICE Retained Earnings Statement For the Month Ended July 31, 2016 (d)(3) Prepare a classified balance sheet for the month ended July 31, 2016. SPARKLE CLEANING SERVICE Balance Sheet July 31, 2016 Assets Liabilities and Stockholders' Equity