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Question - Michael J owns renovation business under the name New Home. Financial data for New Home as of 30 June 2019 are shown as below:
Accounts receivable 109,500
Wages expense 117,000
Renovation revenue 300,000
Advertising expense 48,000
Interest income 13,500
Prepaid insurance 13,500
Accounts payable 132,000
Insurance expense 10,500
Cash at bank 72,000
Equipment 285,000
Michael J, capital ?
Required -
1. Create the income statement for the business for the year ending 30 June 2019.
2. Create the balance sheet in narrative format for New Home as at 30 June 2019.
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