3D Copy's Center (3D CC) 3D Copy's Center (3D CC) is a Digital Printing company Based in stanbul, Machka was incorporated on October 10, 2016., and began operating on January 1, 2017. It has evolved from a copy center to a digital instant printing chain providing solutions in the area of digital document management. The Company had extended its services in offset printing, bindery, lamination, and promotional materials. The balance sheet as of the end of the 2016 is shown in Exibit 1. In preparing financial statements for the first year of operations, the accountant reviewed the record of cash receipts and cash disbursements for 3D Copy Center. This information appears in Exhibit 2 In addition, the accountant examined certain other information relative to operations. These additional items appear in Exihibit3. Exhibit #1 3D Copy's Center Inc. Balance Sheet As of December 31, 2016 Assets Cash Office Supplies Office Equipment Building and Land Total Assets 5.000 28.200 40.000 200.000 60.000 $333.200 Liabilities an Owners' Equity Accounts payable Bank Loan Capital stock Retained Earnings Total Liablities and Owners' Equity 34.000 40.000 250,000 9.200 $333.200 184.250 76.850 261.100 Exhibit #2 3D Copy Center Inc. Cash Receipts and Dispursements:2017 Cash Receipts: Cash sales Collect accounts receivable Total Cash Disbursements: Galerie Utilities Office Supplies Rent Payment for bank loan Payment for accounts payable Tax Payment Total 36.000 22.500 42.000 36.000 10.000 34.000 18.250 198.250 Exhibit #3: Other Information Relative to Operation 1. At the end of 2017, 3D CC owed $10.500 to suppliers for the purchase of office supplies for which it had not yet paid. 2. At the end of 2017, 3D was owed $26.000 for 3D printing services by customers who had not yet paid. 3D CC expected that all of these customers would pay next year in january 3. The managemmet of company always pays attention to controling office supplies. The ability to accurately determine how much inventory is on hand A periodic physical count must be taken of all items in inventory. At year-end of december, 2017 revealed that the amount of unused supplies still on hand was $32.500 4. The office equipment is estimated that it will last 5 years and bulding is estimated that has useful life 20 years. 5. The unpaid salaries of December was 1.500 6. The loan has taken out from Isbank at the end of Decemeber 2016. Interest at 18% per annual on the bank loan was payable December 31,2017 (40000 x .18 ) = $3.200). Interest payments for 2017 were made in January 2018. 7.3D CC pays rent annually. The last payment was made April 1, 2017. The next payment will be made last day of March 2018. 8. Income taxes for 2017 were expected to be $28.500 They were unpaid as of December 31, 2017 Required: Prepare an income statement for 2017 and a balance sheet as of December 31, 2017 3D Copy's Center (3D CC) 3D Copy's Center (3D CC) is a Digital Printing company Based in stanbul, Machka was incorporated on October 10, 2016., and began operating on January 1, 2017. It has evolved from a copy center to a digital instant printing chain providing solutions in the area of digital document management. The Company had extended its services in offset printing, bindery, lamination, and promotional materials. The balance sheet as of the end of the 2016 is shown in Exibit 1. In preparing financial statements for the first year of operations, the accountant reviewed the record of cash receipts and cash disbursements for 3D Copy Center. This information appears in Exhibit 2 In addition, the accountant examined certain other information relative to operations. These additional items appear in Exihibit3. Exhibit #1 3D Copy's Center Inc. Balance Sheet As of December 31, 2016 Assets Cash Office Supplies Office Equipment Building and Land Total Assets 5.000 28.200 40.000 200.000 60.000 $333.200 Liabilities an Owners' Equity Accounts payable Bank Loan Capital stock Retained Earnings Total Liablities and Owners' Equity 34.000 40.000 250,000 9.200 $333.200 184.250 76.850 261.100 Exhibit #2 3D Copy Center Inc. Cash Receipts and Dispursements:2017 Cash Receipts: Cash sales Collect accounts receivable Total Cash Disbursements: Galerie Utilities Office Supplies Rent Payment for bank loan Payment for accounts payable Tax Payment Total 36.000 22.500 42.000 36.000 10.000 34.000 18.250 198.250 Exhibit #3: Other Information Relative to Operation 1. At the end of 2017, 3D CC owed $10.500 to suppliers for the purchase of office supplies for which it had not yet paid. 2. At the end of 2017, 3D was owed $26.000 for 3D printing services by customers who had not yet paid. 3D CC expected that all of these customers would pay next year in january 3. The managemmet of company always pays attention to controling office supplies. The ability to accurately determine how much inventory is on hand A periodic physical count must be taken of all items in inventory. At year-end of december, 2017 revealed that the amount of unused supplies still on hand was $32.500 4. The office equipment is estimated that it will last 5 years and bulding is estimated that has useful life 20 years. 5. The unpaid salaries of December was 1.500 6. The loan has taken out from Isbank at the end of Decemeber 2016. Interest at 18% per annual on the bank loan was payable December 31,2017 (40000 x .18 ) = $3.200). Interest payments for 2017 were made in January 2018. 7.3D CC pays rent annually. The last payment was made April 1, 2017. The next payment will be made last day of March 2018. 8. Income taxes for 2017 were expected to be $28.500 They were unpaid as of December 31, 2017 Required: Prepare an income statement for 2017 and a balance sheet as of December 31, 2017