the assets and liabilities of thompson computer services at march 31, the end of the current year, and its…

the assets and liabilities of thompson computer services at march 31, the end of the current year, and its revenue and expenses for the year are listed below. the capital of the owner was $188,600 at april 1, the beginning of the current year. mr. thompson invested an additional $16,400 in the business during the year.\naccounts payable $1,200 miscellaneous expense $510\naccounts receivable 10,340 office expense 550\ncash 32,320 supplies 1,670\nfees earned 76,970 wages expense 30,190\nland 47,000 drawing 6,000\nbuilding 154,590\nprepare a statement of owners equity for thompson computer services for the current year ended march 31.\nthompson computer services\nstatement of owners equity\nfor the year ended march 31

the assets and liabilities of thompson computer services at march 31, the end of the current year, and its revenue and expenses for the year are listed below. the capital of the owner was $188,600 at april 1, the beginning of the current year. mr. thompson invested an additional $16,400 in the business during the year.\naccounts payable $1,200 miscellaneous expense $510\naccounts receivable 10,340 office expense 550\ncash 32,320 supplies 1,670\nfees earned 76,970 wages expense 30,190\nland 47,000 drawing 6,000\nbuilding 154,590\nprepare a statement of owners equity for thompson computer services for the current year ended march 31.\nthompson computer services\nstatement of owners equity\nfor the year ended march 31

Answer

Explanation:

Step1: Calculate net income

Net income = Fees earned - (Miscellaneous expense + Office expense + Wages expense) Net income = $76970-(510 + 550+30190)$ Net income = $76970 - 31250$ Net income = $45720$

Step2: Calculate ending owner's equity

Beginning owner's equity = $188600$ Additional investment = $16400$ Drawings = $6000$ Ending owner's equity=Beginning owner's equity + Additional investment+Net income - Drawings Ending owner's equity=$188600 + 16400+45720 - 6000$ Ending owner's equity=$244720$

The statement of owner's equity format:

Thompson Computer Services - Statement of Owner's Equity - For the Year Ended March 31 Amount ($)
Beginning owner's equity 188600
Add: Additional investment 16400
Add: Net income 45720
Total 250720
Less: Drawings 6000
Ending owner's equity 244720

Answer:

Thompson Computer Services - Statement of Owner's Equity - For the Year Ended March 31 Amount ($)
Beginning owner's equity 188600
Add: Additional investment 16400
Add: Net income 45720
Total 250720
Less: Drawings 6000
Ending owner's equity 244720