Question

Income statement preparation Adam and Arin Adams have collected their personal income and expense information and have asked you to put together an income and expense statement for the year ended December 31, 2019. The following information is received from the Adams family a. Create a personal income and expensestament for the period ended December 31, 2019 should be similar to a corporate income statement b. Did the Adams family have a cash surplus or cash defic? C. If the result is a surplus, how can the Adams family use that surplus? a. Create a personal income and expense statement for the period ended December 31, 2019. It should be similar to a corporate income statement Complete the income part of the personal income and expense statement for the period ended December 31, 2016. Round to the nearest dolar) Personal Income and Expense Statement Period Ended December 31, 2019 Income Astar's salary Ain's salary est received Dividends received Total income Complete the expenses part of the personal income and expense statement for the period ended December 31, 2010: (Pound to the nearest dollar) Personal Income and Expense Statement (Cont) Period Ended December 31, 2019 Expenses

drop down for B. choices are income/expense,income/expense, surplus/deficit

Answer 1

Solution Part a:- Personal Income and Expense Statement for the year ended December 31, 2019. Personal Income and Expense Statement Period ended December 31, 2019 Income Adam's Salary Arin's Salary Interest Received Dividend Received Total Income 44700 29800 550 130 $ 75180 14300 3190 2190 3260 630 Expenses Mortgage Payment Utility Expenses Groceries Auto Loan payment Auto Insurance Home Insurance Medical Expenses Property Taxes Income Tax and Social Security Clothing and accessories Gas and auto repair Entertainment Total Expenses Cash Surplus/(Deficit) 730 1500 1659 12900 2040 2130 2050 $ 46579 $ 28601 Part b: Since Income exceeds Expenses, the Adam's have a cash Surplus Note: As per option given in question Part c: The Statement below is True, as these are the various opprtunity where the excess cash surplus can be invested depending on the objective/goal of the person.