Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

Q1) Assets and liabilities of Toronto Service Inc. as of December 31, 2008, and revenue and expenses for year ended December 31, 2008 are listed below:

 

Accounts Payable

$21,000

Property tax expense

$5,000

Accounts Receivable

25,000

Rent expense

3,000

Advertising expense

10,000

Salary expense

85,000

Building

140,000

Salary payable

12,000

Cash

10,000

Service Revenue

200,000

Furniture

20,000

Share Capital

75,000

Interest expense

4,000

Supplies

3,000

Land

98,000

Note Payable

95,000

 

Beginning Retained Earnings were $50,000 and dividends totalled $50,000 for year.

 

Required:

 

i) Make Income Statement for year ended December 31, 2008

 

ii) Make Statement of Retained Earnings for the year

 

ii) Make the Balance Sheet at December 31, 2008

 

iii) Based on financial statements prepared, reply the given problems:

 

a. Was Toronto Service Inc. profitable during 2008? If so by how much?

 

b. Did Retained Earnings increase or decrease? Determine the amount of change?

 

c. Which is greater total, liabilities or total equity? Who owns more of company's assets, creditors or shareholders?

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M916598

Have any Question? 


Related Questions in Accounting Basics

Accounting codification assignment- harper company operates

Accounting Codification Assignment- Harper Company operates in an industry with numerous competitors. It is experiencing a shortage of cash and decides to obtain money from a large bank by using some of its receivables a ...

Ecampus accounting cycle paperaccounting cycle paper-

eCampus Accounting Cycle Paper Accounting Cycle Paper- Assessment Activity- Write a 700- 1,050-word paper including the following: · The purpose of accounting and financial reporting within your organization or an organi ...

Bull the president of a plastics company was quoted in a

• The president of a plastics company was quoted in a business journal as stating, "We haven't had a dollar of interest-paying debt in over 10 years. Not many companies can say that." As a stockholder in this company, ho ...

Obtain the 2012 10-k annual report for overland storage inc

Obtain the 2012 10-K Annual Report for Overland Storage, Inc. (OVRL). Refer to Note 1 on page F-7. Based on management's discussion in the note, what type of audit report did Overland's audit firm likely issue? In this s ...

1 the ultimate responsibility for the formulation of

1) The ultimate responsibility for the formulation of financial reporting rules in the US rests with: a. Congress b. Financial accounting standards board c. IRS d. Securities & exchange commission 2) In countries where t ...

The retained earnings account balance for a large

The Retained Earnings account balance for a large corporation is $10,000,000. This amount represents a. cumulative profits over time that have not been distributed to shareholders b. cash in the bank c. current year prof ...

Compare all three balance sheets on the basic grounds of

Compare all three balance sheets on the basic grounds of accounts and differences. 1. HDFC 2. Infosys and 3. Tata Steel. Balance sheets - https://www.dropbox.com/s/0zf1xlialpx54vs/Balance%20Sheets.rar?dl=0.

1 proceeds from an issue of debt securities having stock

1) Proceeds from an issue of debt securities having stock warrants should NOT be allocated between debt and equity features when A. the allocation would result in a discount on the debt security B. the warrants issued wi ...

B bakery is a family owned firm with around 70 employees

B Bakery is a family owned firm with around 70 employees and sales revenue increased to more than $ 13.5 million during the past year. It has been in business for over 50 years and supplies bread and confectionary produc ...

Subject overviewthis subject covers a critical review of

Subject Overview This subject covers a critical review of developments in accounting theory and professional standards including the search for a conceptual framework, the evaluation and comparison of various accounting ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate