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Identify the 2 errors in the following Income Statement. Make sure to clearly explain the errors. DIVVY Company Income Statement For the Month Ended 1/31/2021 Revenues Rides Earned 20,000 Cancellation Fee Earned 15,000 Cash 5,000 Total Revenues 40,000 Expenses Wages Expense 10,000 Accumulated Depreciation 25,000 Supplies Expense 15,000 Rent Expense 10,000 Total Expenses 60,000 Net Loss (20,000)

Identify the 2 errors in the following Income Statement. Make sure to clearly explain the errors. DIVVY Company Income Statement For the Month Ended 1/31/2021 Revenues Rides Earned 20,000 Cancellation Fee Earned 15,000 Cash 5,000 Total Revenues 40,000 Expenses Wages Expense 10,000 Accumulated Depreciation 25,000 Supplies Expense 15,000 Rent Expense 10,000 Total Expenses 60,000 Net Loss (20,000)

FINANCIAL ACCOUNTING
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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Identify the 2 errors in the following Income Statement. Make sure to clearly explain the errors. DIVVY Company Income Statement For the Month Ended 1/31/2021 Revenues Rides Earned 20,000 Cancellation Fee Earned 15,000 Cash 5,000 Total Revenues 40,000 Expenses Wages Expense 10,000 Accumulated Depreciation 25,000 Supplies Expense 15,000 Rent Expense 10,000 Total Expenses 60,000 Net Loss (20,000)
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