The Longmeadow Painting Company begins operations on July 1, 2015. During July, the company records the following activities: The company earns $12,000 from painting houses, all paid in cash.
The company uses $2,000 in paint and $400 in supplies.
The company pays employees $8,000 cash for labor provided during the month.
The company purchases paint at a total cost of $2,500, paying cash.
The company has other expenses, including insurance and business fees, of $200.
Fill in the following income statement for Longmeadow Painting incorporating the above activities. Do NOT enter S signs, just numbers.
Hint: Are supplies used part of Cost of Goods Sold?
Review course note 1B if you are not surel
Longmeadow Painting Co.
Income Statement
For the month ended July 31, 2015
Revenue
Expenses
Cost of goods sold
Gross Profit
Wage expense
Supplies expense
Other expense
Net Income