Dairy Services was organized on August 1, 2019. A summary of the revenue and expense transactions for August follows:

Dairy Services was organized on August 1, 2019. A summary of the revenue and expense transactions for August follows:

Fees earned $783,000
Wages expense 550,000
Rent expense 35,000
Supplies expense 8,500
Miscellaneous expense 11,400

Prepare an income statement for the month ended August 31.

Answers:

DAIRY SERVICES
Income Statement
For the Month Ended August 31, 2019
Fees earned$783,000
Expenses:
Wages expense$550,000
Rent expense35,000
Supplies expense8,500
Miscellaneous expense11,400
Total expenses604,900
Net income$178,100