Question

Sheffield Company was organized on April 1, 2019. The company prepares quarterly financial statements. The adjusted trial balance amounts at June 30 are shown below. 400 Cash Accounts Receivable Prepaid Rent Supplies Equipment Dividends Salaries and Wages Expense Rent Expense Depreciation Expense Supplies Expense Utilities Expense Interest Expense Debit Credit $ 6,900 Accumulated Depreciation-Equipment $ 800 480 Notes Payable 4,200 600 Accounts Payable 900 800 Salaries and Wages Payable 12,100 Interest Payable 80 500 Unearned Rent Revenue 300 7,600 Common Stock 12,980 2,000 Service Revenue 11,400 800 Rent Revenue 1,200 100 $32,260 300 80 $32,260 Determine the net income for the quarter April 1 to June 30. Net income

Answer 1

А 1 Income Statement 2 Revenues: 3 Service Revenue $ 11,400 4 Rent Revenue $ 1,200 5 Total revenues 6 Less: Expenses 7 Salaries and wages expense 7600 8 Rent Expense 2000 9 Depreciation Expense 800 10 Supplies Expense 100 11 Utilities expense 12 Interest expense 13 Total expenses 14 Net Income | Particulars Amount Cash $ 6,900 Accounts receivable $ 480 Prepaid rent $ 600 Supplies $ 800 Equipment Net ($12,100-$800) $ 11,300 Total assets $ 20,080 $ 12,600 300 Particulars Notes payable Accounts payable Salaries and wages payable Interest payable Unearned rent revenue Total liabilities Amount $ 4,200 $ 900 $ 400 $ 80 $ 300 $ 5,880 10880 $ 1,720 Particulars Net Income Less: Dividends Retained earnings, June 30 Amount $ 1,720 $ 500 $ 1,220

Particulars Amount Cash 6900 Accounts receivable 480 Prepaid rent 600 Supplies 800 Equipment Net ($12,100-$800) =12100-800 Total assets =SUM(F2:F6) =+B3+B4 Income Statement 2 Revenues: 3 Service Revenue 11400 4 Rent Revenue 1200 5 Total revenues 6 Less: Expenses 7 Salaries and wages expense 8 Rent Expense 2000 9 Depreciation Expense 800 10 Supplies Expense 11 Utilities expense 12 Interest expense 13 Total expenses 14 Net Income Particulars Notes payable Accounts payable Salaries and wages payable Interest payable Unearned rent revenue Total liabilities Amount 4200 900 400 =SUMB7:B12) +C5-C13 300 =SUM(F10:F14) Amount =+C14 Particulars Net Income Less: Dividends Retained earnings, June 30 500 =+F18-F19