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Problem - Financial information related to the proprietorship of Ebony Interiors for February and March 2019 is as follows:
February 29, 2019
March 31, 2019
Accounts payable
$310,000
$400,000
Accounts receivable
800,000
960,000
Cash
320,000
380,000
Justin Berk, capital
?
Supplies
30,000
35,000
Required -
a. Prepare balance sheets for Ebony Interiors as of February 29 and March 31, 2019.
b. Determine the amount of net income for March, assuming that the owner made no additional investments or withdrawals during the month.
c. Determine the amount of net income for March, assuming that the owner made no additional investments but withdrew $50,000 during the month.
Financial Statement Analysis and Preparation
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