On January 1, 2023, Caroline Lampron and Jenni Meno formed a computer sales and service enterprise in Montreal by investing $77,400 cash. The new company, Bridgeport Sales and Service, had the following transactions in January: 1. 2. 3. 4. 5. Paid $5,160 in advance for three months' rent of office, showroom, and repair space. Purchased 40 personal computers at a cost of $1,290 each, six graphics computers at a cost of $2,580 each, and 25 printers at a cost of $387 each, paying cash on delivery. Sales, repair, and office employees earned $10,836 in salaries during January, of which $2,580 was still payable at the end of January. Sold 30 personal computers for $2,193 each, four graphics computers for $3,870 each, and 15 printers for $645 each. Of the sales amounts, $64,500 was received in cash in January and $26,445 was sold on a deferred payment plan. Other operating expenses of $7,224 were incurred and paid for during January; $1,720 of incurred expenses were payable at January 31.
On January 1, 2023, Caroline Lampron and Jenni Meno formed a computer sales and service enterprise in Montreal by investing $77,400 cash. The new company, Bridgeport Sales and Service, had the following transactions in January: 1. 2. 3. 4. 5. Paid $5,160 in advance for three months' rent of office, showroom, and repair space. Purchased 40 personal computers at a cost of $1,290 each, six graphics computers at a cost of $2,580 each, and 25 printers at a cost of $387 each, paying cash on delivery. Sales, repair, and office employees earned $10,836 in salaries during January, of which $2,580 was still payable at the end of January. Sold 30 personal computers for $2,193 each, four graphics computers for $3,870 each, and 15 printers for $645 each. Of the sales amounts, $64,500 was received in cash in January and $26,445 was sold on a deferred payment plan. Other operating expenses of $7,224 were incurred and paid for during January; $1,720 of incurred expenses were payable at January 31.
Chapter3: Corporations: Introduction And Operating Rules
Section: Chapter Questions
Problem 60P
Related questions
Question
pls fill the gap thanks
Transcribed Image Text:On January 1, 2023, Caroline Lampron and Jenni Meno formed a computer sales and service enterprise in Montreal by investing
$77,400 cash. The new company, Bridgeport Sales and Service, had the following transactions in January:
1.
2.
3.
4.
5.
Paid $5,160 in advance for three months' rent of office, showroom, and repair space.
Purchased 40 personal computers at a cost of $1,290 each, six graphics computers at a cost of $2,580 each, and 25 printers
at a cost of $387 each, paying cash on delivery.
Sales, repair, and office employees earned $10,836 in salaries during January, of which $2,580 was still payable at the end of
January.
Sold 30 personal computers for $2,193 each, four graphics computers for $3,870 each, and 15 printers for $645 each. Of the
sales amounts, $64,500 was received in cash in January and $26,445 was sold on a deferred payment plan.
Other operating expenses of $7,224 were incurred and paid for during January; $1,720 of incurred expenses were payable at
January 31.
Transcribed Image Text:Using the transaction data above, prepare (1) a cash basis income statement and (2) an accrual basis income statement for the
month of January. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
Sales Revenue
Expenses
Cost of computers & printers:
Payments for Goods ✓
Cost of Goods Sold
Salaries and Wages
Rent
Other Expenses
Total Expenses
Net Income /(Loss)
Bridgeport Sales and Service
Income Statement
For the Month Ended January 31, 2023
LA
Cash Basis
64500
-76755 i
-8256
-5160
-7224
-97395
0
i
i
i
-32895
Accrual Basis
90945
-10836
-1720
0
-8944
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