The following account balances are provided for Holland Pty Ltd on 30 June 2020. Revenue and expense accounts cover the financial year ending on that date.   A) Prepare the Income Statement for Holland Pty Ltd for the year ended 30 June 2020 by filling the table. B) Prepare a complete classified Balance Sheet using the narrative (report) format on 30 June 2020 by filling the table.

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter9: Long-term Liabilities
Section: Chapter Questions
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The following account balances are provided for Holland Pty Ltd on 30 June 2020. Revenue and expense accounts cover the financial year ending on that date.

 

A) Prepare the Income Statement for Holland Pty Ltd for the year ended 30 June 2020 by filling the table.

B) Prepare a complete classified Balance Sheet using the narrative (report) format on 30 June 2020 by filling the table.

b) Prepare a complete classified Balance Sheet using the narrative (report) format at 30 June
2020.
Balance Sheet of Holland Pty Ltd
at 30 June 2020
Transcribed Image Text:b) Prepare a complete classified Balance Sheet using the narrative (report) format at 30 June 2020. Balance Sheet of Holland Pty Ltd at 30 June 2020
Question 1
The following account balances are provided for Holland Pty Ltd at 30 June 2020. Revenue and
expense accounts cover the financial year ending on that date.
Accounts payable
20,000 Loan payable-long term
110,000
Accounts receivable
48,600 Office Equipment
14,000
Accumulated depreciation-
office equipment
2,000 Office
expenses
15,200
Advertisement expense
7,800 Prepaid insurance
1,400
Retained earnings (beginning of
Cash at bank
50,000
15,800
year)
Cost of sales
64,000 Salaries expense
28,000
Depreciation expense
2,000 Sales revenue
120,000
Inventory
40,000 Share Capital
76,400
Land
75,000 Unearned service revenue
1,800
a) Prepare the Income Statement for Holland Pty Ltd for the year ended 30 June 2020.
Holland Pty Ltd
Income Statement for the year ended 30 June
Page 1 of 2
Transcribed Image Text:Question 1 The following account balances are provided for Holland Pty Ltd at 30 June 2020. Revenue and expense accounts cover the financial year ending on that date. Accounts payable 20,000 Loan payable-long term 110,000 Accounts receivable 48,600 Office Equipment 14,000 Accumulated depreciation- office equipment 2,000 Office expenses 15,200 Advertisement expense 7,800 Prepaid insurance 1,400 Retained earnings (beginning of Cash at bank 50,000 15,800 year) Cost of sales 64,000 Salaries expense 28,000 Depreciation expense 2,000 Sales revenue 120,000 Inventory 40,000 Share Capital 76,400 Land 75,000 Unearned service revenue 1,800 a) Prepare the Income Statement for Holland Pty Ltd for the year ended 30 June 2020. Holland Pty Ltd Income Statement for the year ended 30 June Page 1 of 2
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