Question

Pharoah Company, a ski tuning and repair shop, opened on November 1, 2016. The company carefully kept track of all its cash receipts and cash payments. The following is available at the end of the ski season, April 30, 2017. Cash Receipts Cash Issuance of Payment to purchase repair shop equipment Payments to landlord Newspaper advertising payment Utility bill payments Part-time helper's wage payments Income tax payment Cash receipts from ski and snowboard repair services Subtotals 20,800 9,060 2,750 10.100 31,300 52.100 24500 27,600 $ 52100$2100 Totals The repair shop equipment was purchased on November 1 and has an esti beginning of each month. The payments to the la mated useful life of 5 years. Lease payments to the landlord are made at the ndlord included a security deposit of $ 180. The part-time helper is owed $ 455 at April 30, 2017.for 0,2017, customers owe Pharoah Company $460 for services they have received but have not yet paid for

Answer 1

Income Statement
Revenue
Service Revenue		31760	[31300+460]
Expenses
Income Tax expense	10100
Salaries and wages expense	3205		[2750+455]
Utilities expense	940
Advertisment expense	390
Rent expense	1080		[1260-180]
Depreciation expense	906		[9060/5 ]*1/2
Total Expenses		16621
Net Income/ Loss		15139

Balance Sheet
Assets
Current Assets
Cash	27600
Accounts receivable	460
Security deposit towards lease	180
Total Current Assets		28240
Non Current Assets
Repair shop equipment	9060
Less: Depreciation	906	8154
Total Assets		36394
Liabilities
Current Liabilities
Salaries and wages payable		455
Stockholders Equity
Common stock	20800
Retained earnings	15139
Total stockholders equity		35939
Total liabilities and stockholders equity		36394