Week 1 Acct 301 - Essentials of accounting tools for...

Info iconThis preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
(b) The first month of operations was a success because they had a net income of $11,700.   (c) The company decided to pay dividends since they had a net income, companies are not  obligated to pay dividends, but in their case they decided to go ahead and pay dividends.
Background image of page 1

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

View Full DocumentRight Arrow Icon
Fix-It-Up Service Co. Income Statement For the Month Ended June 30, 2007 Revenue 8,000 Expenses   Advertising expense 400   Supplies expense 1,000   Gas and oil expense 600   Utilities expense 300   Wage expense 1,400 3700 Net income 11,700 Retained Earnings Statement For the Month Ended June 30, 2007 Retained earnings, June 1 0 Add: Net income 11,700 11,700 Less: Dividends 2,000 Retained earnings, June 30 $9,700 
Background image of page 2
Background image of page 3

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

View Full DocumentRight Arrow Icon
Linus Corporation Statement of Cash Flows For the Month Ended December 31, 2007 Cash flows from operating activities   Cash receipts from operating activities 137,000     Net cash provided by operating activities
Background image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 7

Week 1 Acct 301 - Essentials of accounting tools for...

This preview shows document pages 1 - 5. Sign up to view the full document.

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