! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $85,460 in assets in exchange for its common stock to launch the business. On December 31, the company's records show the following items and amounts. Cash Accounts receivable Office supplies Office equipment Land Accounts payable Common stock Exercise 1-19 (Algo) Preparing a statement of retained earnings LO P2 Using the above information prepare a December statement of retained earnings for Ernst Consulting. Hint: Retained Earnings on December 1 was $0. ERNST CONSULTING Statement of Retained Earning Retained earnings, December 1 Add: Net income $6,650 Cash dividends 18,650 Consulting revenue 4,640 Rent expense 19,560 Salaries expense 46,000 Telephone expense 9,890 Miscellaneous expenses 85,460 Less: Dividends Retained earnings, December 31 $ $ 0 $ 3,490 18,650 4,920 8,500 890 700 3,640 3,640 3.490 150
! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $85,460 in assets in exchange for its common stock to launch the business. On December 31, the company's records show the following items and amounts. Cash Accounts receivable Office supplies Office equipment Land Accounts payable Common stock Exercise 1-19 (Algo) Preparing a statement of retained earnings LO P2 Using the above information prepare a December statement of retained earnings for Ernst Consulting. Hint: Retained Earnings on December 1 was $0. ERNST CONSULTING Statement of Retained Earning Retained earnings, December 1 Add: Net income $6,650 Cash dividends 18,650 Consulting revenue 4,640 Rent expense 19,560 Salaries expense 46,000 Telephone expense 9,890 Miscellaneous expenses 85,460 Less: Dividends Retained earnings, December 31 $ $ 0 $ 3,490 18,650 4,920 8,500 890 700 3,640 3,640 3.490 150
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Required information
Use the following information for the Exercises below. (Algo)
[The following information applies to the questions displayed below.]
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $85,460 in assets in
exchange for its common stock to launch the business. On December 31, the company's records show the following items
and amounts.
Cash
Accounts receivable
Office supplies
Office equipment
Land
Accounts payable
Common stock
ERNST CONSULTING
Statement of Retained Earning
Retained earnings, December 1
Add: Net income
Less: Dividends
Retained earnings, December 31
$6,650 Cash dividends
18,650
4,640
$
19,560
46,000
Exercise 1-19 (Algo) Preparing a statement of retained earnings LO P2
$
Consulting revenue
Rent expense
Salaries expense
Telephone expense
9,890 Miscellaneous expenses
85,460
Using the above information prepare a December statement of retained earnings for Ernst Consulting. Hint: Retained Earnings on
December 1 was $0.
$ 3,490
18,650
0
3,640
4,920
8,500
3,640
3,490
150
890
700](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8f42acfe-a502-4658-8e37-296dcdcb97e5%2F0b311d4e-c65c-45a3-b386-d8c4ecbb960c%2Frtsns3r_processed.png&w=3840&q=75)
Transcribed Image Text:!
Required information
Use the following information for the Exercises below. (Algo)
[The following information applies to the questions displayed below.]
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $85,460 in assets in
exchange for its common stock to launch the business. On December 31, the company's records show the following items
and amounts.
Cash
Accounts receivable
Office supplies
Office equipment
Land
Accounts payable
Common stock
ERNST CONSULTING
Statement of Retained Earning
Retained earnings, December 1
Add: Net income
Less: Dividends
Retained earnings, December 31
$6,650 Cash dividends
18,650
4,640
$
19,560
46,000
Exercise 1-19 (Algo) Preparing a statement of retained earnings LO P2
$
Consulting revenue
Rent expense
Salaries expense
Telephone expense
9,890 Miscellaneous expenses
85,460
Using the above information prepare a December statement of retained earnings for Ernst Consulting. Hint: Retained Earnings on
December 1 was $0.
$ 3,490
18,650
0
3,640
4,920
8,500
3,640
3,490
150
890
700
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