Sweet Catering completed the following selected transactions during May 2016: • May 1: Prepaid rent for three months, $1,200 • May 5: Received and paid electricity bill, $120 . May 9: Received cash for meals served to customers, $2,380 May 14: Paid cash for kitchen equipment, $2,950 • May 23: Served a banquet on account, $2,100 May 31: Made the adjusting entry for rent (from May 1). May 31: Accrued salary expense, $2,510 May 31: Recorded depreciation for May on kitchen equipment, $530 If Sweet Catering had recorded transactions using the Cash method, how much net income (loss) would they have recorded for the month of May? If there is a loss, enter it with parentheses or a negative sign. -1890 If Sweet Catering had recorded transactions using the Accrual method, how much net income (loss) would they have recorded for the month of May? If there is a loss, enter it with parentheses or a negative sign. -4120

Sweet Catering completed the following selected transactions during May 2016: • May 1: Prepaid rent for three months, $1,200 • May 5: Received and paid electricity bill, $120 . May 9: Received cash for meals served to customers, $2,380 May 14: Paid cash for kitchen equipment, $2,950 • May 23: Served a banquet on account, $2,100 May 31: Made the adjusting entry for rent (from May 1). May 31: Accrued salary expense, $2,510 May 31: Recorded depreciation for May on kitchen equipment, $530 If Sweet Catering had recorded transactions using the Cash method, how much net income (loss) would they have recorded for the month of May? If there is a loss, enter it with parentheses or a negative sign. -1890 If Sweet Catering had recorded transactions using the Accrual method, how much net income (loss) would they have recorded for the month of May? If there is a loss, enter it with parentheses or a negative sign. -4120

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 11RE: On December 1 of the current year, Jordan Inc. assigns 125,000 of its accounts receivable to...

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