Wildhorse Co. had the following transactions during 2021: • Sales of $9720 on account • Collected $4320 for services to be performed in 2022 • Paid $4050 cash in salaries for 2021 • Purchased airline tickets for $540 in December for a trip to take place in 2022 What is Wildhorse's 2021 net income using accrual accounting? $5670 $9990 $6210 $10530

On August 1, 2022, Colombo Company's treasurer signed a note promising to pay $122,100 on December 31, 2022. The proceeds of the note were $115,800. Use the horizontal model to show the effects of signing the note and the receipt of the cash proceeds on August 1, 2022. Indicate the financial statement effect. Use the horizontal model to show the effects of recording interest expense for the month of September. Indicate the financial statement effect. Use the horizontal model to show the effects of repaying the note on December 31, 2022. Indicate the financial statement effect.

Accounts Payable$ 46,000 Accounts Receivable23, 800Cash (balance on January 1, 2021)90, 400Cash ( balance on December 31, 2021)78,000Common Stock152, 500 Dividends0Equipment137, 700Income Tax Expense10, 200Interest Expense 29, 600Inventory 17, 300Notes Payable25,000Office Expense 14, 400Prepaid Rent7, 100 Retained Earnings (beginning)6, 800Salaries and Wages Expense35, 800Service Revenue139,800 Utilities Expense25, 200Salaries and Wages Payable9, 000 Other cash flow information: Cash from issuing common stock$ 22,000Cash paid to reacquire common stock24, 500Cash paid for income taxes11, 100Cash paid to purchase long-term assets53, 400Cash paid to suppliers and employees84, 400Cash received from customers139,000 Prepare a statement of retained earnings for 2021.

27 On June 1, 2022, Iconic Properties obtained a loan in the amount of $120,000 with an interest rate of 12%.  All interest and principal are due May 31, 2023.  How much interest expense will be reported on the 2022 and 2023 income statement?  What is the total liability, if any, on the balance sheet as of December 31, 2022?