Question

inment CALCULATOR FI Exercise 2-8 These financial statement items are for Nash's Trading Post, LLC at year-end, July 31, 2017. Salaries and wages payable $ 3,080 Salaries and wages expense 58,500 Supplies expense 16,600 Equipment 19,500 Accounts payable 4,100 Service revenue 67,100 Rent revenue 9,500 Notes payable (due in 2020) 2,800 Common stock 16,000 Cash 30,200 Accounts receivable 10,780 Accumulated depreciation-equipment 7,000 Dividends 4,000 Depreciation expense 5,000 Retained earnings (beginning of the year) 35,000 Prepare an income statement for the year. Nash's Trading Post, LLC did not issue any new stock during the year. Nash's Trading Post, LLC Income Statement - Policy | 2000-2020 John Wiley & Sons, Inc. All Rights Reserved. A Division of John Wiley & Sons, Inc.

Answer 1

Nash Trading Post, LLC
Income Statement
for the year ended 31st July, 2017
Particulars			$	$
I		INCOMES
	a	Revenue from Operations
		Service Revenue	67,100
	b	Other Income
		Rent Revenue	9,500
		Total (I)		76,600
II		EXPENSES
	c	Purchase
		Supplies Expense	16,600
	d	Employees Cost
		Salaries & Wages Expenses	58,500
	e	Depreciation & Amortisation Expenses
		Depreciation Expenses	5,000
		Total (II)		80,100
		LOSS BEFORE TAX (I - II)		3,500
		(to be transferred to Retained Earning Statement)
Nash Trading Post, LLC
Retained Earnings Statement
for the year ended 31st July, 2017
Particulars			$	$
		Opening Balance in Retained Earnings		35,000
	Less	Loss for the year ended 31st July 2017		3,500
		(transferred from Income Statement)
	Less	Dividends		4,000
		Closing Balance in Retained Earnings		27,500
Nash Trading Post, LLC
Balance Sheet
as on 31st July, 2017
Particulars			$	$
A	ASSETS
		Non Current Assets
	a	Property, Plant & Equipment
		Equipment	19,500
		Less: Accumulated Depreciation	7,000	12,500
		Current Assets
	a	Financial Assets
		Accounts Receivables	10,780
		Cash & Cash Equivalents	30,200	40,980
		TOTAL ASSETS (A)		53,480
B	EQUITY AND LIABILITIES
		Equity
	a	Common Stock	16,000
	b	Other Equity (Retained earnings)	27,500	43,500
		Non Current Liabilities
	a	Financial Liabilities
		Notes Payable		2,800
		Current Liabilities
	a	Financial Liabilities
		Accounts Payable		4,100
	b	Other Current Liabilities
		Salaries and wages payable		3,080
		TOTAL EQUITY AND LIABILITIES (B)		53,480