Foxy Investigative Services is an investigative services firm that is owned and operated by
Shirley Vickers. On November 30, 2018, the end of the fiscal year, the accountant for Foxy
Investigative Services prepared an end-of-period spreadsheet, a part of which follows:

Instructions
1. Prepare an income statement, a retained earnings statement, and a balance sheet.
2. Journalize the entries that were required to close the accounts at November 30.
3. If Retained Earnings had instead decreased $46,000 after the closing entries were posted, and the dividends remained the same, what would have been the amount of net income or net loss?

Transcribed Image Text:

Foxy Investigative Services End-of-Period Spreads heet For the Year Ended November 30, 2018 Trial Balance 9 Accounts Receivable 3 3 13 Accumulated Depreciation-Building 6 4 25 Depreciation Expense-Building us Expense ,003,100 1,003,100