Completed the job for which the customer paid 200 in

Completed the job for which the customer paid $200 in May. Tops in Topiary collected $1000 in
cash once finished.
Paid $500 for the rent of July.
At the end of June notices that there are no supplies left. Makes a note to buy some in July.
At the end of June notices that there are few flyers left (used for advertising) worth $100 and
decides to order some for July. Before ordering, the printer (supplier of flyers) asks to be paid
$500 of the amount owed for the flyers done in May. Tops in Topiary pays $500.
In June collected in cash $3,000 for 3 jobs are done for a total of $4,200, the rest is owed in
account by the customers.
In June decided to start depreciating the equipment bought for $360 that is expected to last for 3
years.
In June 23rd Edward Scissorhands withdrew some cash for personal reasons ($3,000).
Prepare "T" Accounts in ACCRUAL Basis for the period ended on June 30th and then answer the
question.
At the end of the accounting period (June 30th, T account after AJE), what is the balance of
Depreciation Expense?
360
$20

$10
$0
None of the others alternatives are correct
TB 04-21 At the end of the accounting period (June 30th, T ...
The following financial statements were prepared at the end of the month of May:
TOPS IN TOPIARY - INCOME STATEMENT FOR the month of May
Revenue $2,540
Expenses:
Rent Expense $500
Advertising Expense $500
Wages Expense $200 $1,200
Net Income $1,340
TOPS IN TOPIARY - STATEMENT OF OWNER'S EQUITY FOR the month of MAY
Owner's Equity at May 1 $0
plus: Investment 2,000
plus: Net Income 1,340
less: Withdrawals 0
Owner's Equity at May 31 $3,340
TOPS IN TOPIARY - BALANCE SHEET AS OF MAY 31
ASSETS LIABILITES AND OWNER'S EQUITY
Current Assets: Current Liabilities:
Cash $1,380 Accounts Payable $300
Accounts Receivable $1,500 Advertising Payable $500
Prepaid Rent $ 500 Advances from Customers $200
Prepaid Advertising $ 500
Supplies $ 100 $3,980
Equipment $ 360 Owner's Equity $3,340
Total Assets $4,340 Total Liabilities & OE$4,340
During June the following transactions occurred:
Paid the helper the $200 owed from works done in May (the amount owed is in Accounts
Payable).

Completed the job for which the customer paid $200 in May. Tops in Topiary collected $1000 in
cash once finished.
Paid $500 for the rent of July.
At the end of June notices that there are no supplies left. Makes a note to buy some in July.
At the end of June notices that there are few flyers left (used for advertising) worth $100 and
decides to order some for July. Before ordering, the printer (supplier of flyers) asks to be paid
$500 of the amount owed for the flyers done in May. Tops in Topiary pays $500.
In June collected in cash $3,000 for 3 jobs are done for a total of $4,200, the rest is owed in
account by the customers.
In June decided to start depreciating the equipment bought for $360 that is expected to last for 3
years.
In June 23rd Edward Scissorhands withdrew some cash for personal reasons ($3,000).