Sierra CompanyAdjusted Trial BalanceDecember 31Account TitleCashPrepaid insuranceNotes receivable (due in 5 years)BuildingsAccumulated depreciation-BuildingsAccounts payableNotes payable (due in 3 years)L. Sierra, CapitalL. Sierra, WithdrawalsConsulting revenueWages expenseDepreciation expense-BuildingsInsurance expenseDebit$ 41,0002,3007,600110,000Credit$ 30,00011,50012,00p37,50010,00099,5005,30011,0003,300$ 190,500Totals$ 190,500(1) Prepare an income statement for the year endedDecember 31.(2) Prepare a statement of owner's equity for the year endedDecember 31. The L. Sierra, Capital account balance was$37,500 on December 31 of the prior year, and there are noowner investments during the current year.Complete this question by entering your ansbelow.Required 1Required 2Prepare a statement of owner's equity for the yearThe L. Sierra, Capital account balance was $37,50the prior year, and there are no owner investmentyear.SIERRA COMPANYStatement of Owner's EquityL. Sierra, Capital, December 31 prior yearAdd: Investments by ownerL. Sierra, Capital, December 31 current year Sierra CompanyAdjusted Trial BalanceDecember 31Account TitleCashPrepaid insuranceNotes receivable (due in 5 years)BuildingsAccumulated depreciation-BuildingsAccounts payableNotes payable (due in 3 years)L. Sierra, CapitalL. Sierra, WithdrawalsConsulting revenueWages expenseDepreciation expense-BuildingsInsurance expenseDebit$ 41,0002,3007,600110,000Credit$ 30,00011,50012,00p37,50010,00099,5005,30011,0003,300$ 190,500Totals$ 190,500(1) Prepare an income statement for the year endedDecember 31.(2) Prepare a statement of owner's equity for the year endedDecember 31. The L. Sierra, Capital account balance was$37,500 on December 31 of the prior year, and there are noowner investments during the current year.Complete this question by entering your ansbelow.Required 1Required 2Prepare a statement of owner's equity for the yearThe L. Sierra, Capital account balance was $37,50the prior year, and there are no owner investmentyear.SIERRA COMPANYStatement of Owner's EquityL. Sierra, Capital, December 31 prior yearAdd: Investments by ownerL. Sierra, Capital, December 31 current year

The income statement records the revenue and expenses of the current period amd tells about the…

Sierra Company Adjusted Trial Balance December 31 Account Title Debit $ 41,000 2,300 7,600 110,000 Credit Cash Prepaid insurance Notes receivable (due in 5 years) Buildings Accumulated depreciation-Buildings Accounts payable Notes payable (due in 3 years) L. Sierra, Capital L. Sierra, Withdrawals Consulting revenue Wages expense Depreciation expense-Buildings $ 30,00p 11,500 12,00p 37,500 10,000 99,500 5,300 11,000 3,300 $ 190,500 $ 190,500 Insurance expense Totals

Sierra Company Adjusted Trial Balance December 31 Account Title Debit $ 41,000 2,300 7,600 110,000 Credit Cash Prepaid insurance Notes receivable (due in 5 years) Buildings Accumulated depreciation-Buildings Accounts payable Notes payable (due in 3 years) L. Sierra, Capital L. Sierra, Withdrawals Consulting revenue Wages expense Depreciation expense-Buildings $ 30,00p 11,500 12,00p 37,500 10,000 99,500 5,300 11,000 3,300 $ 190,500 $ 190,500 Insurance expense Totals

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter1: Accounting And The Financial Statements

Section: Chapter Questions

Problem 46E: OBJECTIVE 6 Exercise 1-46 Income Statement ERS Inc. maintains and repairs office equipment. ERS had...

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