Question

Help Save & Exit 18 Submit Check my work Part 1 of 3 The December 31, 2021, adjusted trial balance for Fightin' Blue Hens Corporation is presented below. Credit Debit $ 10,400 134,000 4,400 22,000 240,000 Accounts Cash Accounts Receivable Prepaid Rent Supplies Equipment Accumulated Depreciation Accounts Payable Salaries Payable Interest Payable Notes Payable (due in two years) Common Stock Retained Earnings Service Revenue Salaries Expense Rent Expense Depreciation Expense Interest Expense Totals $119.000 10,400 9,400 3,400 24,000 140,000 44,000 340,000 References 240,000 12,000 24,000 3,400 $690,200 5690,200 Required: 1. Prepare an income statement for the year ended December 31, 2021 FIGHTIN BLUE HENS CORPORATION Income Statement For the Year Ended December 31, 2021

Answer 1

Income statement forms part of financial statement which states whether the company is making profit or losses. Income statement presents all the revenues and expenses in tabular format. The net income or net loss is later transferred to retained earnings in the balance sheet.

Fightin' Blue Hens Corporation
Income statement
For the year ended december 31,2021
Service Revenue (A)		$        340,000
Expenses:
Salaries expense	$        240,000
Depreciation expense	$          24,000
Rent expense	$          12,000
Interest expense	$            3,400
Total expenses (B)		$        279,400
Net income (A - B)		$          60,600