Using the Following Accounts and Their Amounts, Prepare in Good

question 153

Essay

Using the following accounts and their amounts, prepare in good format an income statement for Heavenly Futures Company for the month ended August 31. $$\begin{array} { l c } \text { Telephone expense } & \$ 1,150 \\\text { Cash } & 3,000 \\\text { Accounts payable } & 1,540 \\\text { Dividends } & 800 \\\text { Fees earned } & 15,700 \\\text { Rent expense } & 1,400 \\\text { Supplies } & 140 \\\text { Accounts receivable } & 1,500 \\\text { Computer equipment } & 20,000 \\\text { Stockholders' equity August } 1 ) & 14,320 \\\text { Wages expense } & 4,800 \\\text { Utilities expense } & 750 \\\text { Notes payable } & 2,400 \\\text { Office expense } & 420\end{array}$$

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Definitions:

Quarterly Observations

Data points or measurements that are collected or reported every three months within a year.

Seasonal Indexes

Numerical values used to adjust data for seasonal effects, allowing comparison across different times of a year by normalizing seasonal variations.

Quarterly Sales

The total income or revenue generated by sales activities in a quarter, often analyzed to assess financial health and performance trends in businesses.

Cyclical Effect

Periodic fluctuations observed in data or economic activity over regular time intervals, often related to business or economic cycles.