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Completing the Work Sheet The work sheet for Job Connect appears in your working papers
Chapter 8, Problem 8-8(choose chapter or problem)
Completing the Work Sheet
The work sheet for Job Connect appears in your working papers. The amounts that have been entered are correct. Several amounts, however, are missing from various columns.
Instructions Calculate all missing amounts and complete the work sheet.
Calculate the owner’s equity. (Hint: Be sure to include the temporary accounts.)
Questions & Answers
QUESTION:
Completing the Work Sheet
The work sheet for Job Connect appears in your working papers. The amounts that have been entered are correct. Several amounts, however, are missing from various columns.
Instructions Calculate all missing amounts and complete the work sheet.
Calculate the owner’s equity. (Hint: Be sure to include the temporary accounts.)
ANSWER:Step 1 of 2
Net income: Net income increases capital since revenues exceed expenses and that increased amount will be transferred to the owner’s capital account. Since the capital account is increased by credits, the amount of the net income is entered in the Credit column of the Balance Sheet section of the work sheet.