Question

he assets and liabilities of Global Travel Agency on December 31, 2045, and its revenue and expenses for the year are as follows: Accounts payable $ 108,000 Miscellaneous expense $ 19,500 Accounts receivable 539.000 Rent expense 56,000 Cash 200.000 Supplies 6,000 Common stock 575.000 Supplies expense 12,700 Fees earned 940.000 Utilities expense 34,800 Land 1,500,000 Wages expense 415.000 Common stock was $525,000 and retained earnings was $1,250,000 as of January 1, 20Y5. During the year, additional common stock of $50,000 was issued for cash, and dividends of $90,000 were paid. Instructions • Prepare an income statement for the year ended December 31, 20Y5. List expenses in order of magnitude. larger ones first) Enter total expenses (538,000) as negative amount Answer Check Figure: Net income: $402,000 • Prepare a statement of stockholders equity for the year ended December 31, 20Y5. • Prepare a balance sheet as of December 31, 20Y5. • What items appear on both the statement of stockholders' equity and the balance sheet Assignment Template click below

help with this problem please.

Answer 1

GLOBAL TRAVEL AGENCY
INCOME STATEMENT FOR THE MONTH YEAR 31ST DECEMBER 20Y5
Revenue:		Amount-$	Amount-$
Revenue from Fees			$9,40,000
Expenses:
Wages		$4,15,000
Rent		$56,000
Utilities		$34,800
Miscellaneous Expenses		$19,500
Supplies Expense		$12,700
Total Expenses			-$5,38,000
Net Profit			$4,02,000

GLOBAL TRAVEL AGENCY
STOCKHOLDERS' STATEMENT OF EQUITY FOR THE YEAR ENDED 31ST DECEMBER 20Y5
Particulars	Common Stock		Retained Earnings		Total Stockholders Equity
Balance as on January 1	$ 5,25,000		$ 12,50,000		$   17,75,000
Issued Shares for Cash	$    50,000				$       50,000
Net Income			$   4,02,000		$    4,02,000
Dividends Paid			$     -90,000		$      -90,000
TOTAL	$5,75,000		$15,62,000		$ 21,37,000

GLOBAL TRAVEL AGENCY
BALANCE SHEET AS AT 31ST DECEMBER 20Y5
ASSETS		$	$
Current Assets:
Cash			2,00,000
Accounts Receivable			5,39,000
Inventory
-Supplies			6,000
Total Current Assets	1		7,45,000
Non-Current Assets:
Land			15,00,000
Total Property Plant & Equipment	2		15,00,000
TOTAL ASSETS	(1 + 2)		22,45,000
LIABILITIES & EQUITY		$	$
Current Liabilities:
Accounts Payable			1,08,000
Total Current Liabilities	3		1,08,000
STOCKHOLDERS' EQUITY
Common Stock			5,75,000
Retained Earnings			15,62,000
Total Stock holders' Equity	4		21,37,000
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY	( 3+4 )		22,45,000

ITEMS THAT APPEAR IN STATEMENT OF STOCKHOLDERS' EQUITY

All the Capital that is invested

Retained Earnings

Premium received on shares

Dividend Paid

Any other Reserves that form part of Equity

ITEMS THAT APPEAR IN BALANCE SHEET

Current Assets

Non current Assets

Liabilities

Non current Liabiliites

Stockholders Equity