Adam and Arin Adams have collected their personal income and expense information and have asked you to put together an income and expense statement for the year ended December 31, 2012. The following information is received from the Adams family.
a. Create a personal income and expense statement for the period ended December 31, 2012. It should be similar to a corporate income statement.
b. Did the Adams family have a cash surplus or cash deficit?
c. If the result is a surplus, how can the Adams family use thatsurplus?

Transcribed Image Text:

Adams salary Arin's salary Interest received Dividends received Auto insurance Home insurance Auto loan payment Mortgage payment $45,000 30,000 500 150 600 750 Utilities Groceries Medical Property taxes Income tax, Social Security Clothes and accessories s 3,200 2,200 1,500 1,659 13,000 2,000 2,100 2,000 3,3Gas and auto repair 14,000 Entertainment Paymenr 330Clothetas