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E3-8(Algo) Preparing a Statement of Earnings LO3-4,3-5 Peter's Curling Inc. operates several curling centres...

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Accounting

E3-8(Algo) Preparing a Statement of Earnings LO3-4,3-5
Peter's Curling Inc. operates several curling centres for games and equipment sales. The following transactions occurred
in October of the current year:
a. Peter's collected $14,350 from customers for games played in October.
b. Peter's sold curling equipment inventory for $9,350; received $5,900 in cash and the rest on account; the cost
sales is $5,700.
c. Peter's received $3,900 from customers on account who purchased merchandise in September.
d. The curling league gave Peter's a deposit of $4,400 for the upcoming fall season.
e. Peter's paid $4,900 for the September electricity bill and received the October bill for $5,390, which will be paid in
November.
f. Peter's paid $6,900 to employees for work in October.
g. Peter's purchased and paid $2,070 in insurance for coverage from October 1 to December 31.
h. Peter's paid $2,450 to plumbers for repairing a broken pipe in the washrooms.
Required:
Prepare a statement of earnings for Peter's Curling Inc. for the month of October of the current year. Use an income tax
rate of 30 percent.
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