Chapter 1 and 2 statements

Chapter 1 and 2 statements - Corporation Name Income...

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Corporation Name Income statement For the (year/month) ended date. (For a specific period of time) Revenues Service revenue $0000.00 Expenses Rent expense $00000.00 Insurance expense $00000.00 Supplies expense $00000.00 o Total expenses $00000.00 Net income $00000.00 Double underline Revenue: The increase in assets that result from the sale of product or service in the normal course of business. Expenses: The cost of assets consumed or services in the process of generation revenues. Net income = Revenues – Expenses Income statement of always first, then the retained earnings statement followed the balance sheet. Answers questions like: Are the company’s operations profitable? o The income statement reports on the success or failure of the company’s operations by reporting its revenues and expenses. If the company’s revenue exceeds it expenses, it will report net income; otherwise it will report a net loss.
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Corporation Name Retained Earnings Statement For the (year/month) ended date. (For a specific period of time) Retained earnings, Month $00000.00 (This is the amount rolled over from the previous retained earnings statement. If this were a R.E.S. for the year then the date would be January 1, which was the amount rolled over from the previous year. It would be the amount from the previous month if it was a R.E.S. for the month.) Add: Net income ( from income statement) $00000.00 sum Less: Dividends $00000.00 Retained earnings, Month double underlined total ( ending total to be used in the balance sheet ) Retained earnings statement: A financial statement that summarizes the amounts and causes of changes in the retained earnings for a specific period of time. Retained earnings:
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This note was uploaded on 02/27/2012 for the course ACCT 2000 taught by Professor Holmes during the Spring '08 term at LSU.

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Chapter 1 and 2 statements - Corporation Name Income...

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