[Lilbit1963]

The problem is below:

The Income statement of Benning Co for the month of July shows net income of $1400 based on Service Revenue $5500, Wages Expense $2300, Supplies Expense $1200 and Utilities Expense $600. In reviewing the statement, you discover the following..
1. Insurance expired during July of $400 was omitted
2. Supplies expense includes $200 of supplies that are still on hand at July 31.
3. Depreciation on equipment of $150 was omitted
4. Accrued but unpaid wages at July 31 of $300 were not included
5. Services provided but unrecorded totaled $500

Instructions:

Prepare a correct income statement for July 2010.

[pready]

1. Add the cost to Insurance Expense
2. Subtract the cost from Supplies Expense.
3. Add the cost to Depreciation Expense.
4. Add cost to Wages Expense.
5. Add cost to Service Revenue.
Now you have the corrected Revenues and Expenses amounts and can prepare a corrected income statement.