Your friend James Smith, knowing that you are a ‘top gun’ accounting student, has asked you to prepare a balance sheet and a statement of comprehensive income from the following information.

Items	Amount ($)
Salaries expense	1236
Cash sales	132000
Insurance expense	932
Cost of supplies used to make cash sales	32400
Equipment	3200
Electricity and telephone expense	9560
Accounts payable	14020
Bank overdraft	2300
Wages expense	38900
Land and buildings	125000
Vehicles	23230
Mortgage on land	23000
Tax payable	5000
Shareholder’s equity	58138

Required

Prepare an Income Statement and balance sheet.

 
 
 

Answer rating: 100% (QA)

INCOME STATAEMENT cash sales 132000 less cost of supplies us... View the full answer