Demo Consulting is a consulting firm owned and operated by Jesse Flatt. The following end-of-period spreadsheet was prepared for the year ended August 31, 20Y9:

	Demo Consulting
	End-of-Period Spreadsheet
	For the Year Ended August 31, 20Y9
	Unadjusted						Adjusted
	Trial Balance		Adjustments				Trial Balance
Account Title	Dr.	Cr.		Dr.		Cr.	Dr.	Cr.
Cash	12,320						12,320
Accounts Receivable	29,330						29,330
Supplies	3,110					2,610	500
Land	25,520						25,520
Office Equipment	24,050						24,050
Accumulated Depreciation		3,260				1,550		4,810
Accounts Payable		7,920						7,920
Salaries Payable						380		380
Common Stock		9,900						9,900
Retained Earnings		20,020						20,020
Dividends	3,810						3,810
Fees Earned		80,800						80,800
Salary Expense	21,410			380			21,790
Supplies Expense				2,610			2,610
Depreciation Expense				1,550			1,550
Miscellaneous Expense	2,350						2,350
	121,900	121,900		4,540		4,540	123,830	123,830

Based on the preceding spreadsheet, prepare an income statement for Demo Consulting.

Demo Consulting
Income Statement
For the Year Ended August 31, 20Y9
Fees earned		$
Expenses:
Salary expense	$
Supplies expense
Depreciation expense
Miscellaneous expense
Total expenses
Net income		$

Feedback

Revenue and expense accounts flow into the income statement.

Based on the preceding spreadsheet, prepare a statement of stockholders’ equity for Demo Consulting. During the year ended August 31, 20Y9, $3,100 of additional common stock was issued. If an amount box does not require an entry, leave it blank. If a net loss is incurred or dividends were paid, enter that amount as a negative number using a minus sign.

Demo Consulting
Statement of Stockholders’ Equity
For the Year Ended August 31, 20Y9
	Common Stock	Retained Earnings	Total
Balances, September 1, 20Y8	$	$	$
Issued common stock
Net income
Dividends
Balances, August 31, 20Y9	$	$	$

Feedback

The statement of stockholders' equity shows the beginning balances of common stock and retained earnings. The common stock balance will be increased by any stock issued during the period, and retained earnings will be increased by any net income and decreased by any net losses and dividends.

Based on the preceding spreadsheet, prepare a balance sheet for Demo Consulting.

Demo Consulting
Balance Sheet
August 31, 20Y9
Assets
Current assets:
Cash		$
Accounts receivable
Supplies
Total current assets			$
Property, plant, and equipment:
Land		$
Office equipment	$
Accumulated depreciation
Book value-office equipment
Total property, plant, and equipment
Total assets			$
Liabilities
Current liabilities:
Accounts payable		$
Salaries payable
Total liabilities			$
Stockholders' Equity
Common stock		$
Retained earnings
Total stockholders' equity
Total liabilities and stockholders' equity			$

Answer rating: 100% (QA)

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