Question

This information relates to Sheridan Company for the year 2022.

Retained earnings, January 1, 2022 $91,100
Advertising expense 2,450
Dividends 8,160
Rent expense 14,200
Service revenue 78,880
Utilities expense 3,260
Salaries and wages expense 40,800
Prepare an income statement for the year ending December 31, 2022. SHERIDAN COMPANY Income Statement

Answer 1

SHERIDAN COMPANY

Income Statement

For the Year Ended December 31, 2022

Revenues

Service Revenue $78,880

Expenses

Salaries and Wages Expense $40,800

Rent Expense $14,200

Utilities Expense $3,260

Advertising Expense $2,450

Total Expenses $60,710

Net Income $18,170