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Problem 2-3B (Part Level Submission) You are provided with the following informa

ID: 2581957 • Letter: P

Question

Problem 2-3B (Part Level Submission) You are provided with the following information for Sarasota Corp., effective as of its April 30, 2014, yeor-end. $3,160 10,335 6,600 3,140 21,140 20,555 2,860 24,435 20,510 760 360 410 235 Notes payable (due n 2018 4,885 440 845 Retained earnings, beginning 13,960 Salaries and wages expense 6,025 Accounts payable Accounts receivable Accumulated depreciation- Cash Common stock Dividends Equipment Sales revenue Income tax expense Income taxes payable Interest expense Interest payable Prepaid rent Rent expense (a1) Your answer is correct. Prepare an income statement for Sarasota Corp. for the year ended April 30, 2014 For the Year Ended April 30, 2014 Sales Revenue 20510 Salaries and Wages Expense 6025 845 3140 410 760 Rent Expense Interest Expense Income Tax Expense Total Expenses 11180

Explanation / Answer

Balance Sheet

Assets

Current Assets

Cash

21,140

Accounts Receivable

10,335

Prepaid Rent

440

Total Current Assets

31,915

Long term Assets

Equipment

24,435

Less: Accumulated depreciation

(6,600)

17,835

T

Current Liabilities

Accounts Payable

3,160

Income Tax Payable

360

Interest Payable

235

Total Current Liabilities

3,755

Notes Payable(Due in 2018)

4,885

Total Liabilities

8,640

Equity

Common Stock

20,555

Retained Earning

20,430

Total Equity

40,985

Assets

Current Assets

Cash

21,140

Accounts Receivable

10,335

Prepaid Rent

440

Total Current Assets

31,915

Long term Assets

Equipment

24,435

Less: Accumulated depreciation

(6,600)

17,835

T

Current Liabilities

Accounts Payable

3,160

Income Tax Payable

360

Interest Payable

235

Total Current Liabilities

3,755

Notes Payable(Due in 2018)

4,885

Total Liabilities

8,640

Equity

Common Stock

20,555

Retained Earning

20,430

Total Equity

40,985

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