Question

Bamboo Consulting is a consulting firm owned and operated by Lisa Gooch. The following end-of-period spreadsheet was prepared for the year ended July 31, 2019:

	Bamboo Consulting
	End-of-Period Spreadsheet
	For the Year Ended July 31, 2019
	Unadjusted Trial Balance		Adjustments		Adjusted Trial Balance
Account Title	Dr.	Cr.	Dr.	Cr.	Dr.	Cr.
Cash	57,100				57,100
Accounts Receivable	108,200				108,200
Supplies	12,200			(a) 6,300	5,900
Office Equipment	518,000				518,000
Accumulated Depreciation		28,500		(b) 6,900		35,400
Accounts Payable		21,100				21,100
Salaries Payable				(c) 2,300		2,300
Lisa Gooch, Capital		521,800				521,800
Lisa Gooch, Drawing	25,000				25,000
Fees Earned		347,400				347,400
Salary Expense	186,600		(c) 2,300		188,900
Supplies Expense			(a) 6,300		6,300
Depreciation Expense			(b) 6,900		6,900
Miscellaneous Expense	11,700				11,700
	918,800	918,800	15,500	15,500	928,000	928,000

Based on the preceding spreadsheet, prepare an income statement, statement of owner’s equity, and balance sheet for Bamboo Consulting. Be sure to read the instructions for each financial statement carefully. CHART OF ACCOUNTSBamboo ConsultingGeneral Ledger ASSETS 11 Cash 12 Accounts Receivable 13 Supplies 14 Office Equipment 15 Accumulated Depreciation LIABILITIES 21 Accounts Payable 22 Salaries Payable EQUITY 31 Lisa Gooch, Capital 32 Lisa Gooch, Drawing 33 Income Summary REVENUE 41 Fees Earned EXPENSES 51 Salary Expense 52 Supplies Expense 53 Depreciation Expense 54 Miscellaneous Expense

Labels Current assets Current liabilities Expenses For the Year Ended July 31, 2019 July 31, 2019 Property, plant, and equipment Revenues Amount Descriptions Decrease in owner’s equity Increase in owner’s equity Lisa Gooch, Capital Lisa Gooch, Capital, August 1, 2018 Lisa Gooch, Capital, July 31, 2019 Net income Net loss Total assets Total current assets Total expenses Total liabilities Total liabilities and owner’s equity Total property, plant, and equipment Total revenues Withdrawals

Prepare an income statement for the year ended July 31, 2019 for Bamboo Consulting. 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. 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 a statement of owner’s equity for the year ended July 31, 2019 for Bamboo Consulting. No additional investments were made during the year. For those boxes in which you must enter subtractive or negative numbers use a minus sign. Be sure to complete the statement heading. Use the list of Labels and Amount Descriptions for the correct wording of text items.

Prepare a balance sheet as of July 31, 2019 for Bamboo Consulting. Fixed assets must be entered in order according to account number. Be sure to complete the statement heading. 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 (:) or the word "Less" on the balance sheet; they will automatically insert where necessary.

Answer 1

Bamboo Consulting

Income Statement

For the Year Ended July 31, 2019

Descriptions                                                                                         Amount

Revenues

            41 Fees Earned                                                                         347,400

Total revenues                                                                                       347,400

Expenses

            51 Salary Expense                                                                    188,900

            52 Supplies Expense                                                                 6,300

            53 Depreciation Expense                                                           6,900

            54 Miscellaneous Expense                                                         11,700

Total expenses                                                                                      213,800

Net income                                                                                           133,600

Bamboo Consulting

Statement of Owner’s Equity

For the Year Ended July 31, 2019

Descriptions                                                                                         Amount

Net income                                                                                           133,600

Withdrawals                                                                                          -25,000

Increase in owner’s equity                                                                      108,600

Lisa Gooch, Capital, August 1, 2018                                                       521,800

Lisa Gooch, Capital, July 31, 2019                                                         630,400

Bamboo Consulting

Balance Sheet

July 31, 2019

Descriptions                                                                                         Amount

ASSETS

Current assets

            11. Cash                                                                                   57,100

            12. Accounts Receivable                                                           108,200

            13. Supplies                                                                              5,900

                        Total current assets                                                       171,200

Property, plant, and equipment

            14. Office Equipment                                                                518,000

            15. Accumulated Depreciation                                                    35,400

                        Total property, plant, and equipment                              482,600

Total assets                                                                                          653,800

LIABILITIES

Current liabilities

            21. Accounts Payable                                                                21,100

            22. Salaries Payable                                                                  2,300

                        Total current liabilities                                                    23,400

Total liabilities                                                                                       23,400

Owner’s Equity                                                                                      630,400

Total liabilities and owner’s equity                                                          653,800