Question

Prepare the income statement and balance sheet for the year ending December 31, 20X5 for Company X. The following information is all that is available. Be sure to prepare proper headings and dates on each financial statement.

 

Owners Equity

$120,000

Land

125,000

Revenue from sales to costumers

750,000

Cash

25,000

Salary expense

235,000

Other revenue

15,000

 Rent expense

115,000

Accounts payable

50,000

Equipment

250,000

Buildings

400,000

Other operating expenses

300,000

Accounts receivable

50,000

Loans payable

125,000

Retained earnings (equity account)

565,000

Other assets

10,000

Answer 1

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