The following account balances were taken from the adjusted trial balance for La
ID: 2424252 • Letter: T
Question
The following account balances were taken from the adjusted trial balance for Laser Messenger Service, a delivery service firm, for the fisca year ended April 30, 2016: Prepare an income statement. If a net loss has been incurred, enter that amount as a negative number using a minus sign. Be sure to complete the statement heading. Refer to the Chart of Accounts for exact wording of account titles. Use the list of Labels and Amount Descriptions for the correct wording of text items other than account names. You will not need to enter colons (:) on the income statement. Prepare an income statement. If a net loss has been incurred, enter that amount as a negative number using a minus sign. Be sure to complete the statement heading. Refer to the Chart of Accounts for exact wording of account titles. Use the list of Labels and Amount Descriptions for the correct wording of text items other than account names. You will not need to enter colons (:) on the income statement.Explanation / Answer
INCOME STATEMENT Fees Earned $684,000.00 Less:-Costs: Utility Expense $42,800.00 Supplies Expense $3,700.00 Salary Expense $339,500.00 Rent $53,000.00 Insurance $1,000.00 Miscellenious Expense $3,650.00 Depreciation $8,850.00 Total Cost $452,500.00 Net Income $231,500.00