Reference no: EM132578946

The income statement of Saeed CAR Repair is as follows:

SAEED CAR REPAIR

Income Statement

For the Month Ended April 30, 2018

Revenue

CAR Repair Revenue..................................................................... $7,500

Expenses

Salaries Expense........................................................................... $3,400

Depreciation Expense................................................................... 450

Utilities Expense........................................................................... 400

Rent Expense................................................................................. 600

Supplies Expense.......................................................................... 1,050

Total Expenses....................................................................... 5,900

Net Income............................................................................................. $1,600

On April 1, the owner, Lee Gentry, had a capital balance of $12,900. During April, Gentry withdrew $3,000 cash for personal use.

Instructions

Question (a) Prepare closing entries at April 30.

Question (b) Prepare an owner's equity statement for the month of April.