The worksheet of Bridgets Office Supplies contains the follo

The worksheet of Bridget\'s Office Supplies contains the following revenue, cost, and expense accounts. The merchandise inventory amounted to $58,475 on January 1, 2016, and $51,425 on December 31, 2016 The expense accounts numbered 611 through 617 represent selling expenses, and those numbered 631 through 646 represent general and administrative expenses 5 245.000 Cr 4,220 Dr 270 Cr 102,300 Dr 1,845 Dr 3,470 Cr. 1.670 Cr 44,000 Dr 2.180 Dr 1.380 Dr 12,200 Dr 2,870 Dr 19,800 Dr 4.700 Dr 440 Dr 590 Dr 480 Dr. 401 Sales 451 Sales Returns and Allowances 491 Miscellaneous Income 501 Purchases 502 Freight In 503 Purchases Returns and Allowances 504 Purchases Discounts 611 Salaries Expense-Sales 14 Store Supplies Expense 617 Depreciation Expense-Store Equipment 31 Rent Expense 34 Utilities Expense 37 Salaries Expense-Office 840 Payroll Taxes Expense 43 Depreciation Expense-Office Equipment 846 Uncollectible Accounts Expense 601 Interest Expense The worksheet of Bridget\'s Office Supplies contains the following owner\'s equity accounts. No additional investments were made during the period. Accounts 301 Bridget Swanson, Capital 02 Bridget Swanson, Drawin 5 62,460 Cr. 40,850 Dr Prepare a statement of owner\'s equity for the year ended December 31, 2016 BRIDGET\'S OFFICE SUPPLIES Statement of Owner\'s Equity Bridget Swanson, Capital, January 1, 2016 5 62,460 t income for year ess withdrawals for year 40,850 Increase in Capital Bridget Swanson, Capital, December 31, 2016 5(40,850 5 21,610

Solution

BRIDGET\'S OFFICE SUPPLIES

Income Statement

For year ended December 31 2016

Sales revenue

$ 245,000.00

Less: sales returns and Allowances

$      4,220.00

Net Sales

$ 240,780.00

Less: Cost of Goods Sold

Opening Stock

$ 58,475.00

Add: Purchases (net)

$ 97,160.00

Freight Inwards

$    1,845.00

Less: Closing Stock

$ 51,425.00

$ 106,055.00

Gross Profit

$ 134,725.00

Operating Expenses

Selling Expenses

$ 47,560.00

General and Administrative Expenses

$ 40,600.00

Total Operating Expenses

$    88,160.00

Operating profits

$    46,565.00

Other incomes

Miscellaneous incomes

$          270.00

Other Expenses

Interest Expense

$          480.00

Net Income

$    46,355.00

BRIDGET\'S OFFICE SUPPLIES

Statement of Owner\'s equity

For year ended December 31 2016

Bridget Swanson, capital ,January 1 2016

$    62,460.00

Net Income For Year

$ 46,355.00

Less: Withdrawals for Year

$ 40,850.00

Increase In Capital

$      5,505.00

Bridget Swanson, capital ,December 31 2016

$    67,965.00

BRIDGET\'S OFFICE SUPPLIES
Income Statement
For year ended December 31 2016
Sales revenue		$ 245,000.00
Less: sales returns and Allowances		$      4,220.00
Net Sales		$ 240,780.00
Less: Cost of Goods Sold
Opening Stock	$ 58,475.00
Add: Purchases (net)	$ 97,160.00
Freight Inwards	$    1,845.00
Less: Closing Stock	$ 51,425.00	$ 106,055.00
Gross Profit		$ 134,725.00
Operating Expenses
Selling Expenses	$ 47,560.00
General and Administrative Expenses	$ 40,600.00
Total Operating Expenses		$    88,160.00
Operating profits		$    46,565.00
Other incomes
Miscellaneous incomes		$          270.00
Other Expenses
Interest Expense		$          480.00
Net Income		$    46,355.00