Question:

Prepare Income Statement based on the following information

The following transactions are July 2011 activities of Bob’s Bowling, Inc., which operates
several bowling centers (for games and equipment sales).
a. Bob’s collected $ 11,000 from customers for games played in July.
b. Bob’s sold bowling equipment inventory for $ 6,000; received $ 4,000 in cash and the
rest on account.
c. Bob’s received $ 1,500 from customers on account who purchased merchandise in June.
d. The men’s and Ladies’ bowling leagues gave Bob’s a deposit of 4,600 for the upcoming
fall season.
e. Total cost of bowling merchandised sold during the period to Bob’s is $ 2,100
f. Bob’s paid $ 1,800 on the electricity bill for June (recorded as expense in June)
g. Bob’s paid $ 3,800 to employees for work in July
h. Bob’s purchased $ 1,800 in insurance for coverage from July 1 to October 1
i. Bob’s paid $ 1,200 to plumbers for repairing a broken pipe in the restrooms
j. Bob’s received the July electricity bill for $ 2,300 to be paid in August
k. Bob’s pay income tax at 30% on Profit Before Tax

Prepare an Income Statement for Bob’s Bowling, Inc., for the month of July 2011.