On December 1, 2022, Splish Brothers Inc. had the following account balances. Cash Accounts Receivable Inventory Supplies Equipment Debit $7,400 4,700 11,900 1,300 22,000 $47,300 Accumulated Depreciation-Equipment Accounts Payable Salaries and Wages Payable Common Stock 4 Retained Earnings During December, the company completed the following summary transactions. Credit $2,200 4,500 1,000 29,000 10,600 $47,300
On December 1, 2022, Splish Brothers Inc. had the following account balances. Cash Accounts Receivable Inventory Supplies Equipment Debit $7,400 4,700 11,900 1,300 22,000 $47,300 Accumulated Depreciation-Equipment Accounts Payable Salaries and Wages Payable Common Stock 4 Retained Earnings During December, the company completed the following summary transactions. Credit $2,200 4,500 1,000 29,000 10,600 $47,300
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question

Transcribed Image Text:On December 1, 2022, Splish Brothers Inc. had the following account balances.
Cash
Accounts Receivable
Inventory
Supplies
Equipment
Dec.
6
8
10
Debit
13
$7,400 Accumulated Depreciation-Equipment
Accounts Payable
Salaries and Wages Payable
Common Stock 4
Retained Earnings
During December, the company completed the following summary transactions.
4,700
11,900
1,300
22,000
$47,300
Credit
$2,200
4,500
1,000
29,000
10,600
$47,300
Paid $1,600 for salaries and wages due employees, of which $600 is for December and $1,000 is for November salaries
and wages payable.
Received $1,900 cash from customers in payment of account (no discount allowed).
Sold merchandise for cash $6.400. The cost of the merchandise sold was $4,100.
Purchased merchandise on account from Hecht Co. $9,300, terms 2/10, n/30.

Transcribed Image Text:10
13
15
18
20
237
Adjustment data:
Sold merchandise for cash $6,400. The cost of the merchandise sold was $4,100.
Purchased merchandise on account from Hecht Co. $9,300, terms 2/10, n/30.
Purchased supplies for cash $2,100.
Sold merchandise on account $12,100, terms 3/10, n/30. The cost of the merchandise sold was $8,100.
Paid salaries wages $1,900.
Paid Hecht Co. in full, less discount.
Received collections in full, less discounts, from customers billed on December 18.
1. Accrued salaries and wages payable $800.
Depreciation $200 per month.
Supplies on hand $1,400.
2
3.
Prepare an income statement for December
Splish Brothers Inc.
Income Statement
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