Question

Credits $31,000 Con- 55,800 496,000 55,800 3,410,000 SPLISH CORPORATION TRIAL BALANCE DECEMBER 31, 2020 Debits Purchase Discounts Cash $588,070 Accounts Receivable 325,500 Rent Revenue Retained Earnings Salaries and Wages Payable Sales Revenue Notes Receivable 341,000 Accounts Payable Accumulated Depreciation-Equipment Sales Discounts 44,950 Sales Returns and Allowances 54,250 Notes Payable Selling Expenses 719,200 Administrative Expenses 306,900 Common Stock Income Tax Expense 167,090 Cash Dividends 139,500 Allowance for Doubtful Accounts Supplies 43,400 Freight-in 62,000 Land 217,000 151,900 86,800 217,000 930,000 15,500 MacBook Air

Answer 1

Splish Corporation
Income Statement
For the year ended December 31, 2020
Revenue	Amount ($)	Amount ($)
Sales Revenue	34,10,000
(Less sales returns and allowances)	(54,250)
(Less sales discounts)	(44,950)
Therefore, Net Sales Revenue	33,10,800
Rent Revenue	55,800
Gain on sale of land	93,000
Total Revenues		34,59,600
Expenses
Cost of goods sold	19,99,500
Supplies	43,400
Selling expense	7,19,200
Administrative expense	3,06,900
Freight-in	62,000
Total Expenses		31,31,000
Net Income Before Taxes		3,28,600
Income tax expense		1,67,090
Income from Operations carried to retained earnings		1,61,510
Number of common shares outstanding during the year		93000
Earnings per share		1.74
Splish Corporation
Retained Earnings Statement
For the year ended December 31, 2020
Particulars	Amount ($)
Balance in Retained Earnings as on January 1, 2020	496000
Add: Income from Operations carried from Income Statement	1,61,510
	6,57,510
Less: Cash Dividend	139500
Balance in Retained Earnings as on December 31, 2020	5,18,010