The Sample Cafe nearly broke even in the first month of business. Below is a...
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Accounting
The Sample Cafe nearly broke even in the first month of business. Below is a simplified income statement for January along with some notes regarding specific transactions. Sample Cafe Income Statement Summary Month Ended January 31, 20xx Item Value Note Revenue $29,800 Includes $1,000 for a special event that has been invoiced, but not yet paid. Cost of Goods Sold $3,200 Includes $1,800 of cups used from inventory plus $1,400 of coffee beans. An additional $500 of large cups were purchased and delivered during the week but not yet paid for. Total Expenses $27,000 Includes equipment depreciation of $300. Net Income $-400 In in the previous question, you built Sample Cafes balance sheet for December 31. For this question, update the Sample Cafe balance sheet for January 31 using the template below to reflect the month of operations.
Asset Account
Value
Liability/Equity Account
Value
Cash
$
Accounts Payable
$
Accounts Receivable
$
Long-Term Liabilities
$
Inventory
$
Total Liabilities
$
Furniture & Equipment
$
n/a
n/a
Accumulated Depreciation*
$
Paid-in Capital
$
Deposit
$
Retained Earnings
$
Total Assets
$
Total Liabilities & Equity
$
* Input Accumulated Depreciation as a negative value.
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