The accounting department for Loud Noises Concerts (LNC) recorded the following transactions for the fiscal year ended April 30, 2009. LNC generates revenue by selling tickets for local concerts. Sometimes tickets are sold in advance and sometimes customers will purchase their tickets the same day as the event. These types of transactions require that the LNC accounting department record some cash receipts as unearned revenues and others as earned revenues.

Requirements
1. Explain the transaction or event that resulted in each item recorded on the worksheet.
2. Did LNC generate net income or net loss for the fiscal year ended April 30, 2009? How can you tell?
3. Prepare the income statement, statement of changes in shareholders’ equity, and statement of cash flows for the year ended April 30, 2009, and the balance sheet at April 30,2009.

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Assets Liabilities Shareholders' Equity Contributed Retained Earnings Capital All other AIl liabilities Common stock TransactionCash assets (Accoumt) (Account) (Account) $175,000 $175,000 2. 650 Office supplies 650 Accounts (or other) payable 3. (22,500)22,500 Prepaid rent 439,000 Building 439,000 Long-term notes payable 5. 20,000 20,000 Unearned ticket revenue 6. (675) (675) Miscellaneous (650) (650) Accounts (or other) payable 8. 70,000 70,000 Ticket revenue (18,000) Unearned ticket 18,000 Ticket revenue revenue (276) Office supplies (275) Office supplies expense 10 (11,000) Prepaid rent (11,000) Rent expense 675 Interest payable (676) Interest expense (3,500) Depreciation (6,250) Salaries expense (8,250) Dividends 12. (8,500) Accumulated depreciation 13 14. 6,250 Salaries payable 15 Income StatementStatement of Changes in Shareholders' Equity-Balance SheetStatement of Cash Flows