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a. Romney's Marketing Company has the following adjusted trial balance at the end of the current year. No dividends were declared. However, 540 shares ($0.10 par value per share) issued at the end of the year for $3,000 are included below:

	Debit				Credit
Cash	$	1,570
Accounts receivable		2,220
Interest receivable		270
Prepaid insurance		1,710
Notes receivable (long-term)		2,880
Equipment		15,500
Accumulated depreciation				$	2,970
Accounts payable					2,230
Accrued expenses payable					3,740
Income taxes payable					2,650
Unearned rent revenue					330
Common Stock (820 shares)					82
Additional paid-in capital					3,508
Retained earnings					5,080
Sales revenue					37,250
Interest revenue					160
Rent revenue					560
Wages expense		19,000
Depreciation expense		1,750
Utilities expense		320
Insurance expense		780
Rent expense		9,800
Income tax expense		2,760
Total	$	58,560		$	58,560
Prepare a multi-step income statement in good form for the current year. Include earnings per share. (Round your earnings per share to 2 decimal places. ) b. Romney's Marketing Company has the following adjusted trial balance at the end of the current year. No dividends were declared. However, 510 shares ($0.10 par value per share) issued at the end of the year for $3,000 are included below: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Debit Credit Cash $ 1,500 Accounts receivable 2,320 Interest receivable 220 Prepaid insurance 1,670 Notes receivable (long-term) 2,870 Equipment 15,700 Accumulated depreciation $ 3,030 Accounts payable 2,330 Accrued expenses payable 3,850 Income taxes payable 2,530 Unearned rent revenue 420 Common Stock (840 shares) 84 Additional paid-in capital 3,566 Retained earnings 4,080 Sales revenue 37,720 Interest revenue 160 Rent revenue 830 Wages expense 20,200 Depreciation expense 1,770 Utilities expense 300 Insurance expense 660 Rent expense 8,700 Income tax expense 2,690 Total $ 58,600 $ 58,600 Prepare the closing entry at the end of the current year. c. Romney's Marketing Company has the following adjusted trial balance at the end of the current year. No dividends were declared. However, 500 shares ($0.10 par value per share) issued at the end of the year for $3,000 are included below: Debit Credit Cash $ 1,500 Accounts receivable 2,200 Interest receivable 100 Prepaid insurance 1,600 Notes receivable (long-term) 2,800 Equipment 15,290 Accumulated depreciation $ 3,000 Accounts payable 2,400 Accrued expenses payable 3,920 Income taxes payable 2,700 Unearned rent revenue 500 Common Stock (800 shares) 80 Additional paid-in capital 3,620 Retained earnings 2,000 Sales revenue 38,500 Interest revenue 100 Rent revenue 800 Wages expense 19,500 Depreciation expense 1,800 Utilities expense 380 Insurance expense 750 Rent expense 9,000 Income tax expense 2,700 Total $ 57,620 $ 57,620 Compute the company's total asset turnover for the current year, assuming total assets at the end of the prior year were $16,050.

ROMNEY'S MARKETING COMPANY Income Statement For the current year Operating revenues Sales revenue Total operating revenues Operating expenses Wages expense Depreciation expense Utilities expense Insurance expense Rent expense Total operating expenses Other items Interest revenue Rent revenue Net income Earnings per share

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