The following items are taken from the financial statements of One Headlight Company for 2021: Accounts payable $1,510 Accounts receivable 600 Accumulated depreciation-equipment 850 Unearned Rent Revenue 500 Cash 6,700 Salaries and Wages payable 400 Common stock 14,000 Depreciation expense 850 Dividends 600 Equipment 15,000 Utilities expense 510 Supplies Expense 200 Supplies 1,000 Service Revenue 14,200 Retained earnings, January 1 10,000 Salaries and wages expense 9,400 Rent Revenue 800 Rent Expense 1,500 Prepaid Rent 900 Interest Expense 50 Notes Payable (long-term) 5,000 Instructions (a) Prepare an income statement and a retained earnings statement for the year ended December 31, 2021.
The following items are taken from the financial statements of One Headlight Company for 2021:
Accounts payable $1,510
Unearned Rent Revenue 500
Cash 6,700
Salaries and Wages payable 400
Common stock 14,000
Depreciation expense 850
Dividends 600
Equipment 15,000
Utilities expense 510
Supplies Expense 200
Supplies 1,000
Service Revenue 14,200
Salaries and wages expense 9,400
Rent Revenue 800
Rent Expense 1,500
Prepaid Rent 900
Interest Expense 50
Notes Payable (long-term) 5,000
Instructions
(a) Prepare an income statement and a retained earnings statement for the year ended December 31, 2021.
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