Question: QUESTION 2: Basic Financial Statement Preparation (16 marks) You have been so helpful to Phil that he has recommended you to a friend of his,

 QUESTION 2: Basic Financial Statement Preparation (16 marks) You have been

QUESTION 2: Basic Financial Statement Preparation (16 marks) You have been so helpful to Phil that he has recommended you to a friend of his, Dr. Ginger Vitus. Ginger set up a dental practice called 'Winning Smile in October 2019 and completed a basic bookkeeping course before she commenced her business. Ginger can prepare her business's accounting information up to the point of the trial balance, but she requires your assistance in preparing the financial statements. Ginger also doesn't think that the Trial Balance she has provided is in the correct order. Required: Prepare an Income Statement, Statement of Changes in Equity and a Balance Sheet from the information provided in the Trial Balance provided below. Winning Smile Trial Balance for the year ended 30th June 2020 Debit ($) Credit ($) 133,280 18,326 15,876 490,000 35,280 200,508 Loan Payable Supplies on Hand Fuel Expense Capital Equipment Cash at Bank Telephone Expense Warehouse Sales Accounts Payable Rent Expense Accounts Receivable 4,900 392,000 86,632 6,076 1,176 47,922 Totals 715,988 715,988 Add any additional pages required to complete the required statements

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!