Chapter 5, Problem 5.6BPR

Single-step income statement and balance sheet

Selected accounts and related amounts for Kanpur Co. for the fiscal year ended June 30, 20Y7, are presented in Problem 5-5B.

Instructions

1.    Prepare a single-step income statement in the format shown in Exhibit 13.

2. Prepare a statement of stockholders' equity. Additional common stock of $7,300 was issued during the year ended June 30. 20Y7.

3. Prepare a balance sheet, assuming that the current portion of the note payable is $7,000.

4.    Prepare closing entries as of June 30, 20Y7.