80.2K

Verified Solution

Link Copied!

101 Cash $ 12,610 105 Accounts Receivable 9, 000 110 Supplies 3, 500 150 Equipment 18,500 151 Accumulated Depreciation 7,400 201 Accounts Payable 4,300 215 Unearned Revenue 1,000 217 Accrued Expenses Payable 2,200 310 Common Stock 25,000 350 Retained Earnings 23,810 355 Dividends 16,000 401 Service Revenue 70,000 402 Commission Revenue 9,500 701 Salaries Expense 58,700 720 Utilities Expense 17,900 740 Depreciation Expense 4,000 750 Miscellaneous Expenses 3,000 -------------------------------------- $143,210 $143,210 ======= ========= Required: (a) Prepare an Income Statement and a Statement of Retained Earnings for the year ended June 30, 2019 (b) Prepare a Balance Sheet as of June 30, 2019 2. Alegra Corp. started business on February 2019. Transaction during its first month of operations are as follow: Feb. 2 Jos and Ana Prez invest $5,000 cash on their new business in exchange for common stock. Feb 8 Office furniture and equipment is purchased for $1,500 cash. Feb 9 Received $600 cash for services provided to customers. Feb. 12 Purchased $900 supplies on account. Feb. 15 Provided additional services for $800 on account. Feb. 16 Paid salaries to employees $250. Feb. 20 Received $500 cash for additional services provided to customers. Feb. 22 Collected partial amount of $400 from previous transaction (see Feb. 15). Feb. 25 Paid communication and internet utilities $100 Feb. 26 Made partial payment $450 on the Feb. 12 account. Feb. 27 Received $300 cash for additional services provided to customers. Feb. 28 Paid salaries to employees $250

Answer & Explanation Solved by verified expert

See Answer