On June 12, Carpenter Printing printed $18547 in magazines for the Pierre Company. The magazines were delivered
Question:
On June 12, Carpenter Printing printed $18547 in magazines for the Pierre Company.
The magazines were delivered on June 15, along with an invoice for $6061 due July 15. Per the contract negotiated by the Pierre Company with Carpenter Printing, $5480 will be invoiced in July and will be due August 15; the remainder will be invoiced in August and will be due September 15.
On June 18, Cecil Advertising Agency signed a contract with Carpenter Printing to print advertisements, paying $23925 in advance. $8653 in advertisements are contracted to be printed in June and $33126 in advertisements are contracted to be printed in July.
On June 30, $11010 of advertisements were printed and delivered to Cecil Advertising.
On June 30, $1537of the $16484 in supplies remaining on May 31 have not been used.
Required:
Based on these transactions alone, what is the effect on the Net Income on the Income Statement on June 30?
Expert Answer:
To determine the effect on the net income on the income statement on June 30 we need to analyze the ... View the full answer
Financial Accounting An Introduction to Concepts, Methods and Uses
ISBN: 978-1133591023
14th edition
Authors: Roman L. Weil, Katherine Schipper, Jennifer Francis
