Landscaping, Inc. Income Statement as On 31-Dec-2014Landscaping, Inc. Income Statement
Date: 31-12-2014
Revenue2012
Land Scaping Revenue Earned 340,000
Total Revenues 340,000
Expenses
Insurance 4,800
Office rent 72,000
Supplies expense 10,400
Salary Expense 120,000
Depreciation Expense - Trucks 60,000
Depreciation Expense - Levelling Equipment 8,000
Repair and Maintenance Expenses 6,000
Fuel Expense 3,000
Misc. Expenses 10,000
Interest Expense 6,000
Total Expenses 300,200
Net Income Before Taxes 39,800
Income tax expense 12,000
Income from Continuing Operations 27,800
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Below-the-Line Items
Income from discontinued operations
Effect of accounting changes
Extraordinary items
Net Income 27,800
Retained Earnings Statement as on Dec. 31 2014Landscaping, Inc. Retained Earnings
Date: 31-12-2014
Owner's Equity
Retained earnings 60,000
Add: Net Income 27,800
Less: Dividends (10,000)
Total 77,800
Balance Sheet as on December 31st 2014Landscaping, Inc. Balance Sheet
Date: 31-12-2014
Assets2014
Current Assets
Cash 117,050
Accounts receivable 9,600
Unex[ired Insurance 16,000
Prepaid Rent 6,000
Supplies (as Inventory) 2,150
Total current assets 150,800
Fixed (Long-Term) Assets
Trucks 300,000
(Less accumulated depreciation - trucks) (240,000)
Leveling Equipments 40,000
(Less accumulated depreciation - Leveling Equipments) (24,000)
Intangible assets
Total fixed assets 76,000
Total Assets 226,800
Liabilities and Owner's Equity
Current Liabilities
Accounts payable 3,000
Salaries Payable 1,800
Income taxes payable 2,100
Interest payable 300
Unearned Landscaping revenue 1,800
Total current liabilities 9,000
Long-Term Liabilities
Notes Payable 100,000
Total long-term liabilities 100,000
Owner's Equity
Capital Stock 40,000
Retained earnings 60,000
Add: Net Income 27,800
Less: Dividends (10,000)
Total owner's equity 117,800
Total Liabilities and Owner's Equity 226,800
Falcon Repairs Income Statement as on Dec. 31 2014 Falcon Repairs Income Statement
Date: 31-12-2014
Revenue2012
Repair fees earned 79,750
Total Revenues 79,750
Expenses
Depreciation Expense - Equipment 4,000
Wages Expense 36,500
Insurance Expense 700
Rent Expense 9,600
Office Supplies Expense 2,600
Utilities Expense 1,700
Total Expenses 55,100
Net Income Before Taxes 24,650
Income tax expense -
Income from Continuing Operations 24,650
{42}
Below-the-Line Items
Income from discontinued operations
Effect of accounting changes
Extraordinary items
Net Income 24,650
Retained Earnings Statement as on Dec. 31 2014
Falcon RepairsRetained Earnings
Date: 31-12-2014
Owner's Equity
Retained earnings 30,000
Add: Net Income 24,650
Less: Dividends (15,000)
Total 39,650
Balance Sheet as on Dec. 31 2014 Falcon RepairsBalance Sheet
Date: 31-12-2014
Assets2014
Current Assets
Cash 13,000
Accounts receivable 6,000
Office Supplies 1,200
Prepaid Insurance 1,950
Total current assets 22,150
Fixed (Long-Term) Assets
Equipment 48,000
(Less accumulated depreciation - Equipment) (8,000)
Total fixed assets 40,000
Total Assets 62,150
Liabilities and Owner's Equity
Current Liabilities
Accounts payable 12,000
Wages Payable 500
Total current liabilities 12,500
Long-Term Liabilities
Notes Payable -
Total long-term liabilities -
Owner's Equity
Capital Stock 10,000
Retained earnings 30,000
Add: Net Income 24,650
Less: Dividends (15,000)
Total owner's equity 49,650
Total Liabilities and Owner's Equity 62,150