Question

Finders Investigative Services is an investigative services firmthat is owned and operated by Stacy Tanner. On June 30, 2016, theend of the fiscal year, the accountant for Finders InvestigativeServices prepared an end-of-period spreadsheet, a part of whichfollows:

Required:

Finders Investigative Services

End-of-Period Spreadsheet

For the Year Ended June 30, 2016

~

Adjusted Trial Balance

Account Title

~

Dr.

Cr.

~

Cash

~

20,300

Accounts Receivable

~

69,400

Supplies

~

4,600

Prepaid Insurance

~

2,500

Building

~

434,000

Accumulated Depreciation-Building

~

42,000

Accounts Payable

~

11,600

Salaries Payable

~

3,000

Unearned Rent

~

1,800

Stacy Tanner, Capital

~

372,000

Stacy Tanner, Drawing

~

11,900

Service Fees

~

708,650

Rent Revenue

~

11,900

Salaries Expense

~

523,900

Rent Expense

~

47,600

Supplies Expense

~

10,800

Depreciation Expense-Building

~

7,500

Utilities Expense

~

7,250

Repairs Expense

~

2,800

Insurance Expense

~

2,800

Miscellaneous Expense

~

5,600

~

1,150,950

1,150,950

1.

Prepare an income statement, a statement of owner’s equity (noadditional investments were made during the year), and a balancesheet. *

2.

Journalize the entries that were required to close the accountsat June 30. *

3.

If Stacy Tanner, Capital has instead decreased $30,000 after theclosing entries were posted, and the withdrawals remained the same,what would have been the amount of net income or net loss?

* Be sure to read the instructions for each financial statementcarefully. Refer to the chart of accounts and the list of Labelsand Amount Descriptions provided for the exact wording of theanswer choices for text entries.

Finders Investigative Services is an investigative services firmthat is owned and operated by Stacy Tanner. On June 30, 2016, theend of the fiscal year, the accountant for Finders InvestigativeServices prepared an end-of-period spreadsheet, a part of whichfollows: Finders Investigative Services End-of-Period SpreadsheetFor the Year Ended June 30, 2016 ~ Adjusted Trial Balance AccountTitle ~ Dr. Cr. ~ Cash ~ 20,300 Accounts Receivable ~ 69,400Supplies ~ 4,600 Prepaid Insurance ~ 2,500 Building ~ 434,000Accumulated Depreciation-Building ~ 42,000 Accounts Payable ~11,600 Salaries Payable ~ 3,000 Unearned Rent ~ 1,800 Stacy Tanner,Capital ~ 372,000 Stacy Tanner, Drawing ~ 11,900 Service Fees ~708,650 Rent Revenue ~ 11,900 Salaries Expense ~ 523,900 RentExpense ~ 47,600 Supplies Expense ~ 10,800 DepreciationExpense-Building ~ 7,500 Utilities Expense ~ 7,250 Repairs Expense~ 2,800 Insurance Expense ~ 2,800 Miscellaneous Expense ~ 5,600 ~1,150,950 1,150,950 Required: 1. Prepare an income statement, astatement of owner’s equity (no additional investments were madeduring the year), and a balance sheet. * 2. Journalize the entriesthat were required to close the accounts at June 30. * 3. If StacyTanner, Capital has instead decreased $30,000 after the closingentries were posted, and the withdrawals remained the same, whatwould have been the amount of net income or net loss? * Be sure toread the instructions for each financial statement carefully. Referto the chart of accounts and the list of Labels and AmountDescriptions provided for the exact wording of the answer choicesfor text entries.