Create an income statement from the following transactions from the books of Arts and Styles. The owner wants to see the result of its operation after a month of existence December, 2020. December 1 Chon Loo invested 1,500,000 and equipment worth 500,000. 3 Paid Permits and licenses to operate 12,000. 5 Bought tables, chairs, on account from SM Malls, 250,000. 8 Rendered services for cash worth 50,000. 9 Rendered services on account with a promissory note from Aces worth 30,000. 10 Bought canvas and paints worth 20,000. 15 Paid salaries of artist for 6 months, worth 300,000. 20 The owner withdraw 10,000 for personal use. 25 Borrowed money from Metro Bank 1,000,000 giving a promissory payable in a year with Interest of 8% per annum. 27 Collected from Aces ½ of the account. 30 Paid SM Malls ¼ of the account. Data for Adjustments at the end of December, 2020: Supplies on hand 5,000. Depreciation of furnitures/ fixures and equipment 20% per annum. Artist salary for the month. Interest expense for Metro Bank account. INCOME STATEMENT FORMAT IS ON THE ATTACHED PHOTO
Create an income statement from the following transactions from the books of Arts and Styles. The owner wants to see the result of its operation after a month of existence December, 2020.
December 1 Chon Loo invested 1,500,000 and equipment worth 500,000.
3 Paid Permits and licenses to operate 12,000.
5 Bought tables, chairs, on account from SM Malls, 250,000.
8 Rendered services for cash worth 50,000.
9 Rendered services on account with a promissory note from Aces worth 30,000.
10 Bought canvas and paints worth 20,000.
15 Paid salaries of artist for 6 months, worth 300,000.
20 The owner withdraw 10,000 for personal use.
25 Borrowed money from Metro Bank 1,000,000 giving a promissory payable in a year with
Interest of 8% per annum.
27 Collected from Aces ½ of the account.
30 Paid SM Malls ¼ of the account.
Data for Adjustments at the end of December, 2020:
- Supplies on hand 5,000.
Depreciation of furnitures/ fixures and equipment 20% per annum.- Artist salary for the month.
- Interest expense for Metro Bank account.
INCOME STATEMENT FORMAT IS ON THE ATTACHED PHOTO
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