The Account Balances of Awesome Travel Services at December 31

question 41

Essay

The account balances of Awesome Travel Services at December 31 are listed below. There were no additional investments or withdrawals by J. Trendsetter during the year. $$\begin{array} { l l l l } \text { Accounts payable } & \$ 12,000 & \text { Retained earnings Jan. 1) } & \$ 10,000 \\\text { Accounts receivable } & 14,000 & \text { Supplies } & 1,000 \\\text { Cash } & 18,000 & \text { Income taxes expense } & 1,300 \\\text { Computer equipment } & 21,000 & \text { Utilities expense } & 8,000 \\\text { Fees earned } & 78,000 & \text { Wages expense } & 25,000 \\\text { Rent expense } & 10,000 & \text { Supplies expense } & 1,700\end{array}$$ Prepare an income statement, retained earnings statement, and a balance sheet as of December 31.

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Definitions:

Voltmeter

An electrical measuring instrument used to measure the electrical potential difference between two points in an electric circuit.

Circuit

A closed path through which electric current flows, typically involving power sources, loads, and conductive materials.

DMM

Stands for Digital Multimeter, an instrument that measures electrical values such as voltage, current, and resistance.

Current Flow

The movement of electric charge carriers, like electrons, through a conductor or circuit, creating electric current.