P03-6A - $11,640 Accounts payable $13,600 32 Accounts...

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HARRISON/HORNGREN, FINANCIAL ACCOUNTING 5E Problem 3-6A Name Mahanaim Peterson Section E A B C D E F G H 5 Thrifty Nickel Advertising, Inc. 6 Income Statement 7 For the Year Ended December 31, 20X1 8 Revenues: 9 Service revenue $187,670 10 Expenses: 11 Salary expense $94,000 12 Rent expense 12,000 13 Depreciation expense 11,300 14 Interest expense 4,200 15 Total expenses 121,500 16 Income before taxes 66,170 17 Income tax expense 8,800 18 Net income $57,370 19 Thrifty Nickel Advertising, Inc. 20 Statement of Retained Earnings 21 For the Year Ended December 31, 20X1 22 Retained earnings, December 31, 20X0 $20,380 23 Add: Net income 57,370 24 77,750 25 Less: Dividends 48,000 26 Retained earnings, December 31, 20X1 $29,750 27 Thrifty Nickel Advertising, Inc. 28 Balance Sheet 29 December 31, 20X1 30 Assets Liabilities 31 Cash
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Unformatted text preview: $11,640 Accounts payable $13,600 32 Accounts receivable 41,490 Unearned service revenue 4,520 33 Prepaid rent 1,350 Interest payable 2,130 34 Income tax payable 8,800 35 Equipment $75,690 Salary payable 930 36 Less: Accumulated Note payable 36,200 37 depreciation 22,240 53,450 Total liabilities 66,180 38 Stockholders' Equity 39 Common stock 12,000 40 Retained earnings 29,750 41 Total stockholders' equity 41,750 42 Total liabilities and 43 Total assets $107,930 stockholders' equity $107,930 44 Part 2. 45 Debt Ratio is: 61% 46 Type answer starting here 47 48 End of Problem HARRISON/HORNGREN, FINANCIAL ACCOUNTING 5E Problem 3-6A Name Mahanaim Peterson Section E A B C D E F G H HARRISON/HORNGREN, FINANCIAL ACCOUNTING 5E HARRISON/HORNGREN, FINANCIAL ACCOUNTING 5E...
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This lab report was uploaded on 02/19/2008 for the course ACCT 212 taught by Professor Forgot during the Spring '07 term at DeVry Houston.

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P03-6A - $11,640 Accounts payable $13,600 32 Accounts...

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