Income Statement Smythe & SedgwickCompany Name: Smythe & SedgwickYear Ending 12/31/20XXTrial BalanceAccount TypeDebitCreditCash$2,150,000Accounts Receivable$250,000Allowance for Doubtful Accounts$50,000InventoryPrepaid Insurance$125,000$15,000$300,000InvestmentsProperty, Plant & EquipmentAccumulated Depreciation$3,000,000$250,000$150,000GoodwillAccounts PayableAccrued LiabilitiesNotes Payable (short-term)Bonds PayablePremium on Bonds PayableCommon StockAdditional Paid In Capital - Common Stock$30,000$40,000$130,000$200,000$20,000$2,500,000$10,000Preferred Stock$30,000Additional Paid In Capital - Preferred StockRetained EarningsTreasury Stock$15,000$195,000$45,000Sales$5,500,000Sales Discounts$10,000Interest Revenue$10,000Gain on Sale of EquipmentCost of Goods SoldSalary ExpenseDepreciation ExpenseBad Debt ExpenseLoss on Sale of LandInterest Expense$70,000$3,000,000$50,000$25,000$15,000$30,000$20,000Total$9,050,000 $9,050,000Note: Income Tax Rate is 40%Classify the above accounts in the "Account Type" space provided. Then prepare a Multi-StepIncome Statement in Good Form on the next page: Smythe & SedgwickIncome StatementFor the Year Ended December 31, 20XX

Sales Revenue $5,500,000 Less: Sales discount $10,000 Net sales revenue…

Answered: Income Stater ICO the & Sedgwick

Business

Accounting

Income Stater ICO the & Sedgwick

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 5E: Multiple-Step and Single-Step In coin Statements The following items were derived from Gold...

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Magic Styles, Inc.Unadjusted Trial BalanceAt March 31, 2023Cash $ 18,000.00Prepaid Insurance $ 600.00Prepaid Rent $ 7,300.00Equipment $ 9,700.00Furniture and Fixtures $ 9,700.00Accounts Payable $ 10,800.00Deferred Revenue $ 400.00Notes Payable Long-term) $ 20,000.00Common Stock $ 10,000.00Retained Earnings, February 28, 2023 $ 2,100.00Dividends $ 300.00Service Revenue $ 12,300.00Supplies Expense $ 5,500.00Salaries and Wages $ 3,200.00Utilities Expense $ 700.00Rent Expense $ 600.00TOTAL $ 55,600.00 $ 55,600.00Required:Based on the unadjusted trial balance of Magic Styles, Inc. above, you are required to prepare/write thefollowing:1) An income statement 2) A statement of retained earnings 3) Balance Sheet 4) A paragraph stating your evaluation of the company’s performance and financial status for themonth ending March 31, 2023. In your evaluation, state whether:* the business is profitable;* it is able to pay its current obligations/liabilities; and* its assets are financed more by debts…
3. The following is the trial balance of Aroro Enterprise as at 31 August 2019Particulars Debit (RM) Credit (RM)Capital 48,400Drawings 3,500Trade receivables 9,000Trade payables 12,500Sales 40,400Purchases 31,000Sales returns 300Purchases returns 250Wages and salaries 5,600Discounts allowed 120Discounts received 200Provision for doubtful debts 300Insurance 700Inventory as at 1 September 2018 2,400Utilities 950Rates 350Premises 10,000Fixtures and fittings 3,000Motor van 20,000Cash in hand 330Cash at bank 14,800TOTAL 102,050 102,050Additional information as at 31 August 2019:i. Inventory as at 31 August 2019 amounted RM3,300ii. An entity from whom there is accounts receivables of RM200 was unable tosettle his debt and this amount is to be written off as bad debts.iii. The provision for doubtful debts is 1% of the outstanding trade receivables.iv. The owner took RM100 worth of goods from the business for his own useRequired:a) Statement of Profit or Loss and Others Comprehensive Income…
Question 1The following information was extracted from the financial statement of Barryfor the year ended 31 December 2020. RMSales 437,500Opening inventories 17,500Closing inventories 26,250Cost of sales 262,500Other income 3,750Expenses 61,250Current liabilities 47,250Trade receivables 39,375Bank 8,750Cash 31,500Required:(a) Show the formulae and compute the value of the following for Barry:(i) Purchases(ii) Gross profit(iii)Net Profit
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xtract of Balance sheet items as at 31 December 2020 OR Land 35000 Account receivables 3500 Capital 11500 Closing Stock 15000 Loan 3000 Bank overdraft 3200 Cash 2500 Mortagage loan 7500 Machinery 1650 Trade payables 5700 Accumulated Depreciation 1000 Short term Investments 2200 Trade marks 6000 Drawings 1000 Retained Earnings 7150 Prepaid Expenses 2300 Calculate Owners Equity Select one: a. None Of These b. 8900 OMR c. 58250 OMR d. 17650 OMR
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