In this question:

1)how do you get the salary expenses to be $3850 in the income statement?

2)how to get cash to be $38,550 on the balance sheet and retained earnings to be $42,900?

Transcribed Image Text:

On September 30, 2019, the Radison Avenue Incorporated post-closing trial balance was as follows. The company adjusts its accounts monthly. Account Cash Accounts Receivable Supplies Equipment Accumulated Depreciation - Equipment Accounts Payable Salaries Payable Unearned Revenue Common Shares Retained Earnings October 11 October 13 October 15 October 19 October 20 October 21 October 22 October 23 October 25 October 30 Debit 17,500 14,200 3,800 17,900 During October, the following transactions were completed: October 8 $53,400 Received $11,500 cash from customers in payment of accounts Received $12,200 cash for services performed in October Purchased supplies on account, $675 Paid $2,300 to employees for salaries due, of which $1,800 is for September salaries payable and $500 for October Issued common shares for $4,800 Paid creditors $3,100 of accounts payable due Paid October rent, $550 Paid salaries, $2,150 Adjustment data for the month: Credit 4,550 4,700 1,800 850 9,100 32,400 $53,400 Performed services on account, $3,200 Paid a cash dividend, $700 Received $1,350 from customers for services to be provided in the future 1. Accrued salaries payable are $1,200 2. Unearned revenue of $750 was earned during the month 3. Income tax payable is estimated to be $550 Required: In good format, and making whatever assumption you feel appropriate, prepare an accrual-based Income Statement and Statement of Financial Position (Balance Sheet) for the month ending October 2019. On September 30, 2019, the Radison Avenue Incorporated post-closing trial balance was as follows. The company adjusts its accounts monthly. Account Cash Accounts Receivable Supplies Equipment Accumulated Depreciation - Equipment Accounts Payable Salaries Payable Unearned Revenue Common Shares Retained Earnings October 11 October 13 October 15 October 19 October 20 October 21 October 22 October 23 October 25 October 30 Debit 17,500 14,200 3,800 17,900 During October, the following transactions were completed: October 8 $53,400 Received $11,500 cash from customers in payment of accounts Received $12,200 cash for services performed in October Purchased supplies on account, $675 Paid $2,300 to employees for salaries due, of which $1,800 is for September salaries payable and $500 for October Issued common shares for $4,800 Paid creditors $3,100 of accounts payable due Paid October rent, $550 Paid salaries, $2,150 Adjustment data for the month: Credit 4,550 4,700 1,800 850 9,100 32,400 $53,400 Performed services on account, $3,200 Paid a cash dividend, $700 Received $1,350 from customers for services to be provided in the future 1. Accrued salaries payable are $1,200 2. Unearned revenue of $750 was earned during the month 3. Income tax payable is estimated to be $550 Required: In good format, and making whatever assumption you feel appropriate, prepare an accrual-based Income Statement and Statement of Financial Position (Balance Sheet) for the month ending October 2019.

Answer rating: 100% (QA)

calculation of salaries salaries expenses Oct8500 sala... View the full answer