Duchac Chapter 1 Series A Problems

Duchac Chapter 1 Series A Problems - CHAPTER 1 SERIES A...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
CHAPTER 1 SERIES A PROBLEMS Prob. 1–1A 1. CHICKADEE TRAVEL SERVICE Income Statement For the Year Ended April 30, 2006 Fees earned. ...................................................................... $263,200 Operating expenses: Wages expense. .......................................................... $131,700 Rent expense. .............................................................. 37,800 Utilities expense. ......................................................... 22,500 Supplies expense. ....................................................... 7,100 Taxes expense. ............................................................ 5,600 Miscellaneous expense. ............................................. 2,950 Total operating expenses. .................................... 207,650 Net income. ........................................................................ $ 55,550 2. CHICKADEE TRAVEL SERVICE Retained Earnings Statement For the Year Ended April 30, 2006 Retained earnings, May 1, 2005. ..................................... $35,000 Net income for the year. ................................................... $55,550 Less dividends. ................................................................. 30,000 Increase in retained earnings. ......................................... 25,550 Retained earnings, April 30, 2006. .................................. $60,550 3. CHICKADEE TRAVEL SERVICE Balance Sheet April 30, 2006 Assets Cash. .................................................................................. $53,050 Accounts receivable. ........................................................ 31,350 Supplies. ............................................................................ 3,350 Total assets. ...................................................................... $87,750 Liabilities Accounts payable. ............................................................ $12,200 Stockholders’ Equity Capital stock. ..................................................................... $15,000 Retained earnings. ............................................................ 60,550 75,550 Total liabilities and stockholders’ equity. ...................... $87,750 1- 1- 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Prob. 1–2A 1. Realty businesses are service businesses that aid their clients in buying or selling real estate. 2. a. Wages expense, $4,300 ($9,560 – $1,920 – $1,600 – $1,080 – $660) b. Net income, $9,240 ($18,800 – $9,560) c. Net income for June, $9,240 d. Dividends, $4,800 e. Retained earnings, June 30, 2006, $4,440 f. Land, $28,800 g. Total assets, $41,400 h. Capital stock, $36,000 i. Retained earnings, $4,440
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

Page1 / 8

Duchac Chapter 1 Series A Problems - CHAPTER 1 SERIES A...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online