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On June 1, Michelle Sasse started Divine Creations Co., a company that provides craft opportunities, by investing $15,200 cash in the business. Following are the assets and liabilities of the company at June 30 and the revenues and expenses for the month of June.
Michelle made no additional investment in June, but withdrew $1,300 in cash for personal use during the month.
Instructions
(a) Prepare an income statement and owner's equity statement for the month of June and a balance sheet at June 30, 2010.
(b) Prepare an income statement and owner's equity statement for June assuming the following data are not included above: (1) $900 of revenue was earned and billed but not collected at June 30, and (2) $150 of gas and oil expense was incurred but notpaid.
What internal control functions are performed by a cash register and point of sale system? How are these functions performed when cash is received by mail?
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