Question

Question 4 These items are taken from the financial statements of Bramble Corp. for 2017. Retained earnings (beginning of year) Utilities expense Equipment Accounts payable Cash Salaries and wages payable Common stock Dividends Service revenue Prepaid insurance Maintenance and repairs expense Depreciation expense Accounts receivable Insurance expense Salaries and wages expense Accumulated depreciation-equipment $34,620 2,170 69,620 21,440 12,670 4,860 12,000 12,000 71,180 5,360 1,630 3,150 14,840 2,650 40,180 20,170

Answer 1

$ 71,180 Bramble Corp Income Statement For the Year Ended December 31, 2017 Service Revenue Operating expenses: Salaries and wages expense $ 40,180 Maintenance & REpair expense $ 1,630 Depreciation Expense $ 3,150 Insurance Expense $ 2,650 Utilities Expense $ 2,170 Total operating expenses Net Income $ $ 49,780 21,400 Bramble Corp Statement of Retained Earnings For the Year Ended December 31, 2017 Retained Earnings beginning balance $ Add: Net Income $ $ Add: Dividends paid (to owner) $ Retained Earnings Ending balance $ 34,620 21,400 56,020 (12,000) 44,020

Balance Sheet Assets Current assets Cash Accounts receivable Prepaid Insurance Total Current Assets Non-current assets Equipment Less: Accumulated Depreciation Total Assets $ $ $ 12,670 14,840 5,360 $ 32,870 $ $ 69,620 (20,170) $ $ 49,450 82,320 Liabilities and Owners' Capital Current liabilities Accounts Payable $ 21,440 Salaries and wages Payable $ 4,860 Total Current Liabilities Total Laibilities Stockholders' Equity Common Stock $ 12,000 Retained Earnings $ 44,020 Total Stockholders' Equity Total Liabilities and Stockholders' Equity $ $ 26,300 26,300 $ $ 56,020 82,320