Question

Srdy - Australia Works Pe Lad G 101 445 12 240 2 120 Placement fees Rent expense Telephone expensefy One Supplies Expense Depreciation Experise Advertising Expense 3 500 1 350 SP370 SP370 Prepare the income statement suming the company does not need to comply with Gowing standards Prepare the balance sheet in narrative formar 2. Page 2 of 2

Answer 1

In the books of Australia Works Pty Ltd.
Income Statement for the year ended 30 June 2017
	Amount (in $)	Amount (in $)
Revenues-
Placement fees Revenue		1,01,445
Less: Operating expenses-
Rent Expense	12,240
Salaries Expense	62,500
Telephone Expense	2,120
Office Supplies expense	570
Depreciation expense	3,500
Advertising expense	1,350
Total Expenses		82,280
Net Income		19,165
In the books of Australia Works Pty Ltd.
Balance Sheet as at 30 June 2017
	Amount (in $)	Amount (in $)
Assets
Current Assets
Cash at bank	4,560
Accounts Receivable	14,230
GST Receivable	1,470
Prepaid Advertising	770
Office Supplies	180
Total Current Assets		21,210
Fixed Assets
Office equipment	18,620
Accumulated depreciation-office equipment	5,780
Net Office equipment	12,840
Total Fixed Assets		12,840
Total Assets		34,050
Liabilities
Accounts Payable	11,670
Unearned fees	1,755
GST Payable	3,220
Total Current Liability		16,645
Stockholders and Owners Equity
Capital	-1,760
Add: net profit for the current year	19,165
Total Stockholders and Owners Equity		17,405
Total liabilities		34,050