The following amounts were taken from the accounting records of Bontancia Services, Inc., as of August 31,
Question:
The following amounts were taken from the accounting records of Bontancia Services, Inc., as of August 31, 2011. Bontancia Services began its operations on September 1, 2010.
Capital stock $ 23,000
Cash 50,000
Dividends 13,000
Fees earned 300,000
Interest expense 2,500
Land 100,000
Miscellaneous expense 7,500
Notes payable 30,000
Rent expense 28,000
Salaries expense 90,000
Taxes expense 22,000
Utilities expense 40,000
Instructions
1. Prepare an income statement for the year ending August 31, 2011.
2. Prepare a retained earnings statement for the year ending August 31, 2011.
3. Prepare a balance sheet as of August 31, 2011.
4. Prepare a statement of cash flows for the year ending August 31, 2011.
Balance SheetBalance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
Step by Step Answer:
1 2 3 4 Revenues Fees earned Expenses BONTANCIA SERVICES IN...View the full answer
