18 Feb Analysis of the transactions of the Moonlight Driv
Analysis of the transactions of the Moonlight Drive-In Theater for June 2010 disclosedthe following: Ticket revenue USD 180000 Equipment rent expense 50000 Film rent expense 53400 Concession revenue 29600 Advertising expense 18600 Salaries expense 60000 Utilities expense 14100 Cash dividends declared and paid 12000Balance sheet amounts at June 30 include the following: Cash USD 140,000 Land 148000 Accounts payable 87600 Capital stock 114000 Retained earnings as of 2010 June 1 84900a. Prepare an income statement for June 2010.b. Prepare a statement of retained earnings for June 2010.c. Prepare a balance sheet as of 2010 June 30.d. How solvent does this company appear to be?
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