Guy McKinley started the McKinley Charter Service at the beginning of August 20X1.On August 31, 20X1, the accounting records of the business showed the followinginformation.EquipmentAccounts ReceivableFees IncomeBoatsGasoline ExpenseLoans PayableOwners' Withdrawal$ 22,500 Rent ExpenseCash3,50032,250107,500Salaries ExpenseUtilities Expense8,500 Supplies82,0003,300Initial InvestmentAccounts Payable$ 5,8006,90011,7002,3504,50055,5006,800Prepare an income statement and a statement of owner's equity for the month and abalance sheet as of August 31, 20X1.

Preparation of income statement , statement of owner's equity and balance sheet are as follows

Guy McKinley started the McKinley Charter Service at the beginning of August 20X1. On August 31, 20X1, the accounting records of the business showed the following information. Equipment Accounts Receivable Fees Income Boats Gasoline Expense Loans Payable Owners' Withdrawal $ 22,500 Rent Expense 3,500 Cash 32,250 107,500 Salaries Expense Utilities Expense 8,500 Supplies 82,000 Initial Investment 3,300 Accounts Payable $ 5,800 6,900 11,700 2,350 4,500 55,500 6,800

Guy McKinley started the McKinley Charter Service at the beginning of August 20X1. On August 31, 20X1, the accounting records of the business showed the following information. Equipment Accounts Receivable Fees Income Boats Gasoline Expense Loans Payable Owners' Withdrawal $ 22,500 Rent Expense 3,500 Cash 32,250 107,500 Salaries Expense Utilities Expense 8,500 Supplies 82,000 Initial Investment 3,300 Accounts Payable $ 5,800 6,900 11,700 2,350 4,500 55,500 6,800

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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