Dairy Services was organized on August 1, 2016. A summary of the revenue and expense transactions for August follows: Fees earned Wages expense Rent expense Supplies expense Miscellaneous expense Prepare an income statement for the month ended August 31. $783,000 550,000 35,000 8,500 11,400

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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b.
Why is the statement of owner's equity prepared before the April 30, 2016,
balance sheet?
EX 1-19 Income statement
OBJ. 5
Dairy Services was organized on August 1, 2016. A summary of the revenue and expense
transactions for August follows:
$783,000
Fees earned
Wages expense
Rent expense
550,000
35,000
Supplies expense
8,500
Miscellaneous expense
11,400
Prepare an income statement for the month ended August 31.
Transcribed Image Text:b. Why is the statement of owner's equity prepared before the April 30, 2016, balance sheet? EX 1-19 Income statement OBJ. 5 Dairy Services was organized on August 1, 2016. A summary of the revenue and expense transactions for August follows: $783,000 Fees earned Wages expense Rent expense 550,000 35,000 Supplies expense 8,500 Miscellaneous expense 11,400 Prepare an income statement for the month ended August 31.
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