The accounts of Wellington Electronics Repair, Inc., follow with their normal balances at October 31, 2016. The
Question:
The accounts of Wellington Electronics Repair, Inc., follow with their normal balances at October 31, 2016. The accounts are listed in no particular order.
Account ___________________________ Balance
Common Stock ................................. $45,000
Insurance Expense ................................... 225
Accounts Payable ................................. 3.300
Service Revenue .................................... 7,750
Land ............................................... 58,000
Supplies Expense .................................... 480
Cash ............................................... 15,100
Salaries Expense .................................. 5,200
Building ......................................... 135,000
Rent Expense ....................................... 2,400
Dividends .......................................... 1,500
Utilities Expense .................................... 535
Retained Earnings .............................. 14,840
Accounts Receivable ............................ 4,200
Notes Payable ................................. 152,000
Supplies ............................................. 250
Requirements
1. Prepare the company's trial balance at October 31, 2016, listing accounts in the proper order. List the largest expense first, the second-largest expense next, and so on.
2. Prepare the month-end financial statements: income statement, statement of retained earnings, and balance sheet. The retained earnings balance of $14,840 is the beginning balance for the month; it has not been updated for the current month's net income or loss.
3. Was it a profitable month for Wellington Electronics Repair, Inc.? Why or why not?
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