Accounting

The Two White Highlighted Boxes need to be Corrected

LIST OF ACCOUNTS TO BE CHOSEN FOR THE HIGHLIGHTED BOX:

• Advertising Expense
• Bank Loan
• Cash
• Common Shares
• Cost of Goods Sold
• Equipment
• Inventory
• Operating Expenses
• Prepaid Rent
• Rent Expense
• Retained Earnings
• Sales Revenue
• Supplies Expense
• Wages Payable
• Wages Expense
• Service Revenue
• Supplies
• Telephone Expense
• Unearned Revenue
• Utilities Expense
• Vehicles

Jason Chan operates a takeout pizza business called A Slice of Life Ltd. During the month of November, the following things occurred: 1. He paid $7,692 for pizza ingredients, $1,700 for rent, $220 for the telephone system, and $1,090 for utilities. 2. He took in $24.800 from selling pizzas. 3. He used up $7,130 worth of ingredients to make the pizzas. 4. His employees earned and were paid wages totalling $5,900 for the month. (a) Prepare a statement of income to determine how much A Slice of Life Ltd. earned in November. A Slice of Life Ltd. Statement of Income For the month of November, 2xxx Revenues Sales Revenue $ 24800 Expenses Supplies $ 7130 i Rent Expense 1700 i Telephone Expense 220 i Utilities Expense 1090 i Wages Expense 5900 i Total Expenses 16040 i Net Income /(Loss) $ 1068