Question

Income statement jlm services was organized on august 1, 20y5. a summary of the revenue and expense transactions for august are as follows: line item description amount fees earned $359,900 wages expense 183,500 miscellaneous expense 11,900 rent expense 35,600 supplies expense 11,200.

A) $118,700
B) $118,900
C) $152,700
D) $152,900

Answer 1

To find the accounting profit for JLM Services, total expenses of $242,200 were subtracted from the revenues of $359,900, resulting in an accounting profit of $117,700. The provided answer options do not contain this result.

Step-by-step explanation:

To calculate the accounting profit of JLM Services, we need to subtract the total expenses from the total revenues. The total revenues for August are $359,900. The expenses include $183,500 (wages expense), $11,900 (miscellaneous expense), $35,600 (rent expense), and $11,200 (supplies expense). To find the accounting profit, we follow these steps:

• Add up all the expenses: $183,500 + $11,900 + $35,600 + $11,200 = $242,200.
• Subtract the total expenses from the revenues: $359,900 - $242,200 = $117,700.

The correct answer is not listed in the provided options (A, B, C, D), so there seems to be a discrepancy.