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Transactions during the period 1 December 2015 to 30 November 2016 are given below for ABC Construction.
(1) Total income (fees) from construction contracts
$400,000
(2) Material inventory purchased on account
80,000
(3) Total office rent paid
20,000
(4) Salaries paid to engineers
90,000
(5) Accounts receivable collected
60,000
(6) Account payable paid
30,000
(7) Subcontractor accounts paid
70,000
(8) Bidding expenses
(9) Building depreciation
40,000
(10) Construction equipment depreciation
Using the transactions presented in Appendix B as a guide:
§ Journalize all of the above transactions.
§ Post journal entries to appropriate accounts.
§ Develop the Income Statement for period 1 December 2015 to 30 November 2016.
§ Develop the Balance Sheet for ABC Construction as of 30 November2016.
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