Cash-basis income statement Accrual-basis net income

Cash received from revenue $108,000 Revenues $119,000

Cash paid for expenses $72,000 Expenses $84,000
Net income $36,000 Net income $25,000
 Passehl Rental Agency
Adjusting Journal Entries
No. Account Titles Ref. Debit Credit
1 Depreciation Expense 1,200
Accumulated Depreciation - Equipment 1,200
2 Unearned Rent Revenue 3,400
Rent Revenue 3,400
3 Interest Expense 500
Interest Payable 500
4 Supplies Expense 2,050
Supplies 2,050
5 Insurance Expense 900
Prepaid Insurance 900
 MONTEE COMPANY
Income Statement
For the Month Ended July 31, 2017
Debit Credit
Revenues
Service Revenue $6,150
Expenses
Salaries and Wages Expense $2,600
Supplies Expense 950
Utilities Expense 600
Insurance Expense 400
Depreciation Expense 150
Total Expense $4,700
Net Income $1,450
 DIXON COMPANY
Worksheet
For the Month Ended June 30, 2017
Trial Balance Adjustments Adjusted Trial Balance
Account Titles
Dr. Cr. Dr. Cr. Dr. Cr
Cash $2,320 $2,320
Accounts Recevable 2,440 2,440
Supplies 1,880 $1,380 500
Accounts Payable $1,120 $1,120
Unearned Service Revenue 240 $140 100
Owner's Capital 3,600 3,600
Service Revenue 2,400 140 2,540
Salaries and Wages Expense 560 210 770
Miscellaneous Expense 160 160
Totals $7,360 $7,360
Supplies Expense 1,380 1,380
Salaries and Wages Payable 210 210
Totals $1,730 $1,730 $7,570 $7,570
Net Income
Totals
Income Statement Balance Sheet
Dr. Cr. Dr. Cr.
$2,320
2,440
500
$1,120
100
3,600
$2,540
$770
160

1,380
210
$2,310
$230 230
$2,540 $2,540 $5,260 $5,260
 SAVAGLIA COMPANY
Worksheet (partial)
For the Month Ended April 30, 2017
Adjusted Trial Balance Income Statement Balance Sheet
Account Titles
Dr. Cr. Dr. Cr. Dr.
Cash 10,000 10,000
Accounts Receivable 7,840 7,840
Prepaid Rent 2,280 2,280
Equipment 23,050 23,050
Accumulated Depreciation - Equipment 4,900
Notes Payable 5,700
Accounts Payable 4,920
Owner's Capital 27,960
Owner's Drawings 3,650 3,650
Serivce Revenue 15,590 15,590
Salaries and Wages Expense 10,840 10,840
Rent Expense 760 760
Depreciation Expense 650 650
Interest Expense 57 57
Interest Payable 57
Totals 59,127 59,127 12,307
Net Income 3,283
Totals 15,590 15,590 46,820
Balance Sheet
Cr.

4,900
5,700
4,920
27,960

57

3,283
46,820
 WARREN ROOFING
Worksheet
For the Month Ended March 31, 2017
Trial Balance Adjustments Adjusted Trial Balance
Account Titles
Dr. Cr. Dr. Cr. Dr.
Cash $4,500 $4,500
Accounts Recevable 3,200 3,200
Supplies 2,000 $1,520 480
Equipment 11,000 11,000
Accumulated Depreciation - Equipment $1,250 250
Accounts Payable 2,500
Unearned Service Revenue 550 $290
Owner's Capital 12,900
Owner's Drawings 1,100 1,100
Service Revenue 6,300 290
Salaries and Wages Expense 1,300 700 2,000
Miscellaneous Expense 400 400
Totals $23,500 $23,500
Supplies Expense 1,520 1,520
Depreciation Expense 250 250
Salaries and Wages Payable 700
Totals $2,760 $2,760 $24,250
Net Income
Totals
31, 2017
Adjusted Trial Balance Income Statement Balance Sheet
Cr Dr. Cr. Dr. Cr.
$4,500
3,200
480
11,000
$1,500 $1,500
2,500 2,500
260 260
12,900 12,900
1,100
6,590 $6,590
$2,000
400

1,520
250
700 700
$24,450 $4,170
$2,420 2,420
$6,590 $6,590 $20,280 $20,280
 WARREN ROOFING WARREN ROOFING
Income Statement Owner's Equity Statement
For the Month Ended March 31, 2019 For the Month Ended March 31,
Debit Credit Owner's Capital, March 1
Revenues Add: Investment
Service Revenue $6,590 Net Income
Expenses
Depreciation Expense $250
Supplies Expense 1,520 Less: Owner's Drawings
Salaries and Wages Expense 2,000 Owner's Capital, March 31
Miscellaneous Expense 400
Total Expenses $4,170
Net Income $2,420

WARREN ROOFTING
Balance Sheet
March 31, 2019
Assets
Cash $4,500
Accounts Receivable 3,200
Supplies 480
Equipment 11,000
Less: Accumulated Depreciation - Equipment 1,500
Total Assets $17,680
Liabilities and Owner's Equity
Liabilities
Accounts Payable $2,500
Unearned Service Revenue 260
Salaries and Wages Payable 700
Total Liabilities 3,460
Owner's Equity
Owner's Capital, March 31 $14,220
Total Liabilities and Owner's Equity 17,680
 WARREN ROOFING
wner's Equity Statement
Month Ended March 31, 2019
$2,900
$10,000
2,420
$12,420
$15,320
$1,100
$14,220
 Warren Roofting
Adjusting Journal Entries
No. Account Titles Ref. Debit Credit
1 Supplies Expense 1,520
Supplies 1,520
2 Depreciation Expense 250
Accumulated Depreciation - Equipment 250
3 Unearned Service Revenue 290
Service Revenue 290
4 Salaries and Wages Expense 700
Salaries and Wages Payable 700
 Warren Roofting
Closing Journal Entries
No. Account Titles Ref. Debit Credit
1 Income Summary 2,420
Owner's Capital 2,420
2 Owner's Capital 1,100
Owner's Drawings 1,100
3 Service Revenue 6,590
Income Sumary 6,590
4 Income Summary 4,170
Salaries and Wages Expense 2,000
Miscellaneous Expense 400
Supplies Expense 1,520
Depreciation Expense 250