Question

*Exercise 1-4 This information relates to Benser Co. for the year 2017. Retained earnings, January 1, 2017 Advertising expense Dividends Rent expense Service revenue Utilities expense Salaries and wages expense $67,000 1,800 6,000 10,400 58,000 2,400 30,000 After analyzing the data, prepare an income statement for the year ending December 31, 2017. Benser Co. Income Statement After analyzing the data, prepare a retained earnings statement for the year ending December 31, 2017. (List items that increase retained earnings first.) Benser Co. Retained Earnings Statement Question Attempts: 0 of 3 used

Answer 1

Income Statement

For the year ended December 31, 2017

Revenues :
...Service Revenue		$58,000
Expenses :
...Salaries and Wages expenses	$30,000
...Rent expense	$10,400
...Utilities expense	$2,400
...Advertising expense	$1,800
Total expense		$44,600
Net income		$13,400

Retained earning statement

For the year ended December 31, 2017

Retained earning,January 1	$67,000
(+) Net income	$13,400
	$80,400
(-) Dividend	$6,000
Retained earning, December 31	$74,400