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1. The balances for the accounts listed below appear in the Adjusted Trial Balance columns of the end-of-period spreadsheet (work sheet). Indicate whether each balance should be extended to (a) an Income Statement column or (b) a Balance Sheet column.
1. Retained Earnings
2. Common Stock
3. Depreciation Expense
4. Accumulated Depreciation
5. Fees Earned
6. Unearned Fees
7. Supplies
8. Supplies Expense
2. Prepare an income statement for The following accounts were taken from the Adjusted Trial Balance columns of the end-of-period spreadsheet for April 30, for Finnegan Co.:
Accumulated Depreciation
$32,000
Fees Earned
78,000
Depreciation Expense
7,250
Rent Expense
34,000
Prepaid Insurance
6,000
Supplies
400
Supplies Expense
1,800
Prepare an income statement
3. Prepare an income statement for The following revenue and expense account balances were taken from the Income Statement columns of the work sheet for Fraser Services Co. for December 31: prepare an income statement
$ 4,950
Insurance Expense
2,900
Miscellaneous Expense
1,200
24,000
Service Revenue
92,500
3,150
Utilities Expense
5,000
Wages Expense
63,750
Prepare an income statement.
Calculate the balance of Retained Earnings that would appear on a balance sheet at December 31, 2010.
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