AChapter 3 Copy of ACC1010_Principles of Accounting I_HWTemplates_M2_M3M4.xlsx

Baker College
ACC 1010 Principles of Accounting I
Problem 3-8
a
Income Statement Statement of
For the Year Ended December 31, 2019 For the Year End
REVENUE
Service fees earned $ 62,600 Balance, December 31, 2018
EXPENSES
rent expense $ 15,500
salaries 33,400 Balance, December 31, 2019
supplies 4,200
Insurance 3,250
Depreciation 720
Interest expense 630
Total expenses 57,700
NET INCOME $ 4,900
Balance Sheet
December 31, 2019
ASSETS LIABILITIES
Cash $ 2,900 Accounts Payable
Accounts recievable 3,270 Long term notes payable
supplies 5,060 Total Liabilities
Prepaid insurance 1,500
Equiptment 6,400

Accumulated depreciation -Equiptment (1,080) STOCKHOLDERS' E
Common stock
Petained earnings
Total Stockholders' Equity
Total Assets $ 18,050 Total Liabilities and Stockholders' Equity
b
General Journal
December 31, 2019
Closing Entries
Description Debit Credit
Service Fees earned 62,600
Retained earnings 62,600
To close revenue accounts
Retained earnings 57,700
salaries expense 33,400
supplies expense 4,200
Insurance expense 3,250
Depreciation expense- equiptment 720
Interest expense 630
rent expense 15,500
To close expense accounts
Retained earnings 2,900
dividends 2,900
To close the dividend account

Stockholders' Equity
ded December 31, 2019
Common stock Retained Earnings Total
$ 2,800 $ 5,205 $ 8,005
4,900 4,900
(2,900) (2,900)
$ 2,800 $ 7,205 $ 10,005
$ 845
7,200
$ 8,045

EQUITY
$ 2,800
7,205
10,005
$ 18,050

Baker College
ACC 1010 Principles of Accounting I
Problem 3-12
a
June