A company's December 31 work sheet for the current period appears below. Based on the information provided, what is netincome for the current period?Unadjusted TrialBalanceAdjustmentsDebitCreditDebitCreditCash1,155Accounts receivable480Prepaid insurance5,400330SuppliesEquipmentAccumulated depreciation-equipmentAccounts payableSalaries payable36025015,7203702,940495Unearned revenue6,300555Owner, Capital12,780Owner, Withdrawals3,450Services revenue11,7901,035Rent expense3, зеSalaries expenseUtilities expense3,900495525Insurance expense330Supplies expenseDepreciation expense-equipment25037еTotals33,81033,8102,4802,480Multiple Cholce$4,220.$4,065.$9,890.$2,480.$3,655.

Name: A company's December 31 work sheet for the current period appears bel
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Description: A company's December 31 work sheet for the current period appears below. Based on the information provided, what is netincome for the current period?Unadjusted TrialBalanceAdjustmentsDebitCreditDebitCreditCash1,155Accounts receivable480Prepaid insur

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A company's December 31 work sheet for the current period appears below. Based on the information provided, what is net income for the current period? Unadjusted Trial Adjustments Credit Debit Balance Debit Credit Cash 1,155 Accounts receivable 480 Prepaid insurance Supplies 5,400 330 360 250 Equipment Accumulated depreciation-equipment Accounts payable Salaries payable 15,720 370 2,940 495 Unearned revenue 6,300 555 Owner, Capital Owner, Withdrawals 12,780 3,450 Services revenue 11,790 1,035 Rent expense Salaries expense Utilities expense 3, зее 3,900 495 525 Insurance expense Supplies expense Depreciation expense-equipment 330 250 370 Totals 33,810 33,810 2,480 2,480 Multiple Choice $4,220. $4,065. $9,890. $2,480. $3,655.

A company's December 31 work sheet for the current period appears below. Based on the information provided, what is net income for the current period? Unadjusted Trial Adjustments Credit Debit Balance Debit Credit Cash 1,155 Accounts receivable 480 Prepaid insurance Supplies 5,400 330 360 250 Equipment Accumulated depreciation-equipment Accounts payable Salaries payable 15,720 370 2,940 495 Unearned revenue 6,300 555 Owner, Capital Owner, Withdrawals 12,780 3,450 Services revenue 11,790 1,035 Rent expense Salaries expense Utilities expense 3, зее 3,900 495 525 Insurance expense Supplies expense Depreciation expense-equipment 330 250 370 Totals 33,810 33,810 2,480 2,480 Multiple Choice $4,220. $4,065. $9,890. $2,480. $3,655.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Depreciation Methods

The word "depreciation" is defined as an accounting method wherein the cost of tangible assets is spread over its useful life and it usually denotes how much of the assets value has been used up. The depreciation is usually considered as an operating expense. The main reason behind depreciation includes wear and tear of the assets, obsolescence etc.

Depreciation Accounting

In terms of accounting, with the passage of time the value of a fixed asset (like machinery, plants, furniture etc.) goes down over a specific period of time is known as depreciation. Now, the question comes in your mind, why the value of the fixed asset reduces over time.

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Question

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A company's December 31 work sheet for the current period appears below. Based on the information provided, what is net
income for the current period?
Unadjusted Trial
Balance
Adjustments
Debit
Credit
Debit
Credit
Cash
1,155
Accounts receivable
480
Prepaid insurance
5,400
330
Supplies
Equipment
Accumulated depreciation-equipment
Accounts payable
Salaries payable
360
250
15,720
370
2,940
495
Unearned revenue
6,300
555
Owner, Capital
12,780
Owner, Withdrawals
3,450
Services revenue
11,790
1,035
Rent expense
3, зе
Salaries expense
Utilities expense
3,900
495
525
Insurance expense
330
Supplies expense
Depreciation expense-equipment
250
37е
Totals
33,810
33,810
2,480
2,480
Multiple Cholce
$4,220.
$4,065.
$9,890.
$2,480.
$3,655.

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