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1.Carmen Camry operates a consulting firm called Help Today. On August 31, the company's records show the following accounts and amounts for the month of August. Use this information to prepare an August income statement for the business.
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $25,360Accounts receivable . . . . . . . . . . . . . . . . . . . . . 22,360Office supplies . . . . . . . . . . . . . . . . . . . . . . . . . . 5,250Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44,000Office equipment . . . . . . . . . . . . . . . . . . . . . . . 20,000Accounts payable . . . . . . . . . . . . . . . . . . . . . . . 10,500C. Camry, Capital, July 31. . . . . . . . . . . . . . . . . 2,000C. Camry, Withdrawals . . . . . . . . . . . . . . . . . . . $ 6,000Consulting fees earned . . . . . . . . . . . . . . . . . . . . 27,000Rent expense . . . . . . . . . . . . . . . . . . . . . . . . . . 9,550Salaries expense. . . . . . . . . . . . . . . . . . . . . . . . . 5,600Telephone expense . . . . . . . . . . . . . . . . . . . . . . . 860Miscellaneous expenses . . . . . . . . . . . . . . . . . . 520Owner investment made on August 4 . . . . . . . 100,000
Representational Faithfulness directs most realistic and transparent amount.
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