The accounts in the ledger of Dependable Delivery Service contain the following balances on July 31, 2014.
|
Accounts Receivable
|
$11,400
|
|
Prepaid Insurance
|
$1,800
|
|
Accounts Payable
|
7400
|
|
Maintenance and Repairs Expense
|
1200
|
|
Cash
|
15940
|
|
Service Revenue
|
15500
|
|
Equipment
|
59360
|
|
Dividends
|
800
|
|
Utilities Expense
|
950
|
|
Common Stock
|
40000
|
|
Insurance Expense
|
600
|
|
Salaries and Wages Expense
|
8400
|
|
Notes Payable, due 2017
|
31450
|
|
Salaries and Wages Payable
|
900
|
|
Retained Earnings
|
5,200 (July 1, 2014)
|
Instructions
Prepare an income statement and a retained earnings statement for the month of July 2014, and a classified balance sheet for July 31.