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The assets and liabilities of Amos Moving Services at May 31, 2011, the end of the current year, and its revenue and expenses for the year are listed below. On April 1, 2010, the beginning of the current year, Mr. Amos invested an additional RM25,000 in the business during the year.
Accounts Payable
RM 1,200
Miscellaneous Expense
RM 230
Accounts Receivable
RM 10,340
Office Expense
RM 1,240
Cash
RM 33,990
Office Equipment
RM 1,670
Fees Earned
RM 266,020
Wages Expense
RM23,550
Land
RM 47,000
Drawing
RM16,570
Building
RM 157,630
Required:
Prepare an Income Statement for the current year ended May 31, 2011.
Determine why JIT, TQM and AMTs may not always be entirely compatible with the practice of standard costing.
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