On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,920 in assets in exchange for its common stock to launch the business. On December 31, the company's records show the following items and amounts. Cash Accounts receivable Office supplies Office equipment Land Accounts payable Common stock $ 8,450 Cash dividends 16,950 Consulting revenue 4,080 Rent expense 18,860 Salaries expense 46,020 Telephone expense 9,280 Miscellaneous expenses 84,920 $ 2,930 16,950 4,420 7,900 860 680
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,920 in assets in exchange for its common stock to launch the business. On December 31, the company's records show the following items and amounts. Cash Accounts receivable Office supplies Office equipment Land Accounts payable Common stock $ 8,450 Cash dividends 16,950 Consulting revenue 4,080 Rent expense 18,860 Salaries expense 46,020 Telephone expense 9,280 Miscellaneous expenses 84,920 $ 2,930 16,950 4,420 7,900 860 680
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Required information
[The following information applies to the questions displayed below.]
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,920 in assets in
exchange for its common stock to launch the business. On December 31, the company's records show the following items
and amounts.
Cash
Accounts receivable
Office supplies
Office equipment
Land
Accounts payable
Common stock
$ 8,450 Cash dividends
Consulting revenue
Rent expense
16,950
4,080
18,860 Salaries expense
ERNST CONSULTING
Income Statement
46,020 Telephone expense
9,280 Miscellaneous expenses
84,920
Using the above information prepare a December income statement for the business.
$ 2,930
16,950
4,420
7,900
860
680](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fbb8312dd-f775-472b-9219-3d0a1fc2aeb3%2F5c2f63c5-a852-43c6-ba3f-f9dbb3bb18ff%2F7k08ier_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,920 in assets in
exchange for its common stock to launch the business. On December 31, the company's records show the following items
and amounts.
Cash
Accounts receivable
Office supplies
Office equipment
Land
Accounts payable
Common stock
$ 8,450 Cash dividends
Consulting revenue
Rent expense
16,950
4,080
18,860 Salaries expense
ERNST CONSULTING
Income Statement
46,020 Telephone expense
9,280 Miscellaneous expenses
84,920
Using the above information prepare a December income statement for the business.
$ 2,930
16,950
4,420
7,900
860
680
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