Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not. Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income. To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

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Answer 1

Question

Chapter 3, Problem 3.6EYCT

(a)

To determine

Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not.

Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income.

To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

(b)

To determine

To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

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Answer 2

Question

Chapter 3, Problem 3.6EYCT

(a)

To determine

Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not.

Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income.

To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

(b)

To determine

To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

Expert Solution & Answer

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Check out a sample textbook solution

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Answer 3

Question

Chapter 3, Problem 3.6EYCT

(a)

To determine

Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not.

Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income.

To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

(b)

To determine

To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

Expert Solution & Answer

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Answer 4

Question

Chapter 3, Problem 3.6EYCT

(a)

To determine

Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not.

Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income.

To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

(b)

To determine

To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

Expert Solution & Answer

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Answer 5

Chapter 3, Problem 3.6EYCT

(a)

To determine

Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not.

Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income.

To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

(b)

To determine

To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

Answer 6

Chapter 3, Problem 3.6EYCT

(a)

To determine

Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not.

Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income.

To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

Answer 7

Chapter 3, Problem 3.6EYCT

(a)

To determine

Accrual basis principle: According to this principle of accounting, revenue should be recognized at the time when it is earned, doesn’t matter, it is received or not, and expense should be recognized when it is incurred, doesn’t matter it is paid or not.

Income Statement: The income statement is that financial statement which shows the net income (or loss) of the Company. In the income statement, all expenses incurred by the Company are deducted from the total revenue of the Company, to calculate the net income.

To prepare: (a) Correct income statement for the quarter ended March 31, 2019.

Answer 8

(b)

To determine

To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

Answer 9

(b)

To determine

To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

Answer 10

Expert Solution & Answer

Answer 11

Expert Solution & Answer

Answer 12

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Answer 13

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To explain: Theaccounting principles which were not recognize by B at the time of preparing income statement.

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