Yankee Hotel Foxtrot Initiated Operations on July 1 2016 (A) Determine the Net Income for the Month of July

Essay

Yankee Hotel Foxtrot initiated operations on July 1 2016. To manage the company officers and managers have requested monthly financial statements starting July 31 2016. The adjusted trial balance amounts at July 31 are shown below. $\begin{array}{c}\begin{array}{lr}&\underline{\text { Debits }}\\\text { Cash } & \$ 7,680 \\\text { Accounts Receivable } & 810 \\\text { Prepaid Rent } & 1,965 \\\text { Supplies } & 1,160 \\\text { Equipment } & 11,400 \\\text { Owner's Drawings } & 800 \\\text { Salaries and Wages Expense } & 7,145 \\\text { Rent Expense } & 2,740 \\\text { Depreciation Expense } & 665 \\\text { Supplies Expense } & 580 \\\text { Interest Expense } &\underline{ 45} \\\text { Total debits } & \underline{\$ 34,990}\end{array}\begin{array}{ll}&&\underline{\text { Credits}}\\&\text { Accumulated Depreciation - Equipment } & \$ 840 \\&\text { Notes Payable } & 6,000 \\&\text { Accounts Payable } & 2,140 \\&\text { Salaries and Wages Payable } & 360 \\&\text { Interest Payable } & 40 \\&\text { Unearned Service Revenue } & 580 \\&\text { Owner's Capital } & 10,640 \\&\text { Service Revenue } & \underline{14,390} \\&\text { Total credits } & \underline{\$ 34,990}\\\\\\\\\end{array}\end{array}$ (a) Determine the net income for the month of July.
(b) Determine the total assets and total liabilities at July 31 2016 for Yankee Hotel Foxtrot.
(c) Determine the amount that appears for Owner's Capital at July 31 2016.