Question

Question 9 View Policies Current Attempt in Progress On June 1, 2022, Cullumber Company was started with an initial investment in the company of $19,750 cash. Here are the assets, liabilities, and common stock of the company at June 30, 2022, and the revenues and expenses for the month of June, its first month of operations: Cash $4,730 Notes payable $12,260 Accounts receivable 4,330 Accounts payable 830 Service revenue 7,900 Supplies expense 955 Supplies 2,387 Maintenance and repairs expense 670 Advertising expense 400 Utilities expense 230 Equipment 24.000 Salaries and wages expense 1,300 Common stock 19,750 During June, the company issued no additional stock but paid dividends of $1,738.

Answer 1

CULLUMBER COMPANY
Income Statement
At the end of June 30, 2022
Revenues:
Service Revenue		$7,900
Less: Expenses:
Salaries and wages expense	($1,300)
Utilities expense	($230)
Supplies expense	($955)
Maintenance and repair expense	($670)
Advertising expense	($400)
Total Expenses		($3,555)
Net Income		$4,345
CULLUMBER COMPANY
Retained Earnings Statement
At the end of June 30, 2022
Beginning balance, retained earnings	$0
Add: Net Income	$4,345
	$4,345
Less: Dividends	($1,738)
Ending balance, retained earnings	$2,607
CULLUMBER COMPANY
Balance Sheet
As on June 30, 2022
Assets
Cash		$4,730
Accounts receivable		$4,330
Supplies		$2,387
Equipment		$24,000
Total Assets		$35,447
Liabilities and Stockholders' Equity
Liabilities:
Notes payable	$12,260
Accounts payable	$830
Total Liabilities		$13,090
Stockholders' Equity:
Common Stock	$19,750
Retained earnings	$2,607
Total Stockholders' Equity		$22,357
Total Liabilities and Stockholders' Equity		$35,447