I need to know how to prepare the income statement of Maltbee Lawn Service for the four months May through August and prepare the classified balance sheet of Maltbee Lawn Service at August 31.
Here's the info:
Doug Maltbee formed a lawn service business as a summer job. To start the business on May 1, he deposited $1,000 in a new bank account in the name of the proprietorship. The $1,000 consisted of a $600 loan from his father and $400 of his own money. Doug rented lawn equipment, purchased supplies, and hired fellow students to mow and trim his customer's lawns.
At the end of each month, Doug mailed bills to his customers. On August 31, he was ready to dissolve the business and return to Louisiana State University for the fall semester. Because he was so busy, he kept few records other than his checkbook and a list of amounts owed to him by customers.
2006-10-19
05:10:12
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3 answers
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asked by
Little Birdie
2