Human Resource Management x Connect o 7Income statement and

Human Resource Management x Connect × o (7)Income statement and Bal- Jenn , ation.com/flow/connect.html?sessionId-2 5682 532 1 516691 701 618f39c641 2b8974e4 795c563 519ded3 360&email-barcinasiennife1;%40gmail.com Chapter 1 Assignment 6 Help Save & Exit Submit Saved Required information The following information applies to the questions displayed below. On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $84,920 in assets in exchange for its common stock to launch the business. On October 31, the company\'s records show the following items and amounts. Part 1 of Cash Accounts receivable Office supplies Land Office equipment Accounts payable Common Stock 2,930 17,000 4, 420 7,900 860 680 $ 8,450 Cash dividends 17,000 Consulting revenue points 4,0B0 Rent expense 46,020 Salaries expense 18,B60 Telephone expenae 9,2B0 Miscellaneous expenses 84,920 References Using the above information prepare an October income statement for the business. ERNST CONSULTING Income Statement For Month Ended October 31 Mc Prev 2 3 4 of 11 Next >

Solution

Prepare income statement :

Revenue
Consulting revenue		17000
Expenses :
Rent expenses	(4420)
Salaries exp	(7900)
Telephone expenses	(860)
Miscellaneous exp	(680)	(13860)
Net income		3140