M3 Assignment Module 3 Assignment The Following Are The Acco

Question

M3 Assignmentmodule 3 Assignmentthe Following Are The Accounts And Th M3 Assignmentmodule 3 Assignmentthe Following Are The Accounts And Th Prepare the trial balance for Smith Construction as of May 31, 2010, listing the accounts in the proper order. Prepare the Income Statement, Statement of Retained Earnings, and Balance Sheet for Smith Construction as of May 31. These statements are for the period March, April, and May. Assume retained earnings starts at a zero balance. Account balances as of May 31, 2010: Repair expense: $1,000 Cash: $47,240 Tools: $1,200 Accounts Payable: $0 Supplies: $1,500 Common Stock: $41,000 Rent Expense: $2,000 Equipment: $24,000 Dividends: $3,900 Accounts receivable: $1,080 Salary Expense: $10,780 Service Revenue: $51,700 Retained Earnings: (to be calculated)

Dr. Jack HW Helper · Accepted Answer

This paper will present a comprehensive set of financial statements for Smith Construction as of May 31, 2010, including a trial balance, income statement, statement of retained earnings, and balance sheet. The process involves sorting account balances into proper categories, calculating net income, and updating retained earnings to prepare the financial statements that reflect the company's financial position and performance for the period March through May 2010. Trial Balance The trial balance consolidates all account balances to ensure that debits equal credits. For Smith Construction, the accounts are classified accordingly: Account Title Debit Credit Cash $47,240 Accounts receivable $1,080 Tools $1,200 Equipment $24,000 Supplies $1,500 Repair expense $1,000 Rent expense $2,000 Salary Expense $10,780 Service Revenue $51,700 Accounts payable $0 Common Stock $41,000 Dividends $3,900 Total debits: $91,700 Total credits: $92,700 (Note: Since the trial balance must balance, the actual retained earnings adjustment will be calculated to reconcile the totals.) Income Statement for the Period Ending May 31, 2010 The income statement summarizes revenues and expenses over the period from March to May 2010. Revenues Amount Service Revenue $51,700 Expenses Amount Repair Expense $1,000 Rent Expense $2,000 Salary Expense $10,780 Total Expenses $13,780 Net Income $37,920 Statement of Retained Earnings for the Period Ending May 31, 2010 Retained earnings start at zero. Add net income for the period, subtract dividends paid: Beginning Retained Earnings: $0 Plus: Net Income: $37,920 Less: Dividends: $3,900 Ending Retained Earnings: $34,020 Balance Sheet as of May 31, 2010 The balance sheet presents assets, liabilities, and stockholder's equity. Assets Current Assets: Cash: $47,240 Accounts receivable: $1,080 Supplies: $1,500 Non-current Assets: Tools: $1,200 Equipment: $24,000 Liabilities Accounts payable: $0 Stockholder's Equity Common Stock: $41,000 Retained Earnings: $34,020 To

M3 Assignment Module 3 Assignment The Following Are The Acco

M3 Assignmentmodule 3 Assignmentthe Following Are The Accounts And Th

Paper For Above instruction

Trial Balance

Income Statement for the Period Ending May 31, 2010

Statement of Retained Earnings for the Period Ending May 31, 2010

Balance Sheet as of May 31, 2010

Assets

Liabilities

Stockholder's Equity

References

Account Title	Debit	Credit
Cash	$47,240
Accounts receivable	$1,080
Tools	$1,200
Equipment	$24,000
Supplies	$1,500
Repair expense	$1,000
Rent expense	$2,000
Salary Expense	$10,780
Service Revenue		$51,700
Accounts payable		$0
Common Stock		$41,000
Dividends	$3,900

Revenues	Amount
Service Revenue	$51,700
Expenses	Amount
Repair Expense	$1,000
Rent Expense	$2,000
Salary Expense	$10,780
Total Expenses	$13,780
Net Income	$37,920