The adjusted trial balance for Fraser Valley Services Ltd. was prepared in E4.11. Note that the company issued common shares for $1,000 during the year.

In E4.11

Fraser Valley Services Ltd. reports the following adjusted account balances, shown in alphabetical order, at the end of its fiscal year, August 31, 2018:

Instructions
Prepare
(a) An income statement,
(b) A statement of changes in equity,
(c) A statement of financial position.
Prepare and post closing entries.

Transcribed Image Text:

Accounts payable Accounts receivable Accumulated depreciation-equipment Bank loan payable, due 2021 Cash Common shares Depreciation expense Dividends declared Equipment Income tax expense Income tax payable Insurance $ 2,80o Interest expense 1,500 1,500 3,450 15,000 1,250 5,400 19,200 2,200 54,275 3:40o 1,750 18,225 Interest payable 5,905 Prepaid insurance 25,000 Rent expense 11,430 Rent payable 5,000 Retained earnings 2,275 Salaries expense 60o Salaries payable 25.60o Service revenue 2,000 Supplies 1,500 Supplies expense 1, expense 100 Unearned revenue