|Purpose:||(L.O. 1, 6) This exercise will illustrate the preparation of financial statements from information contained in the worksheet.|
A worksheet is a tool used by most accountants to aid in the organization of data for the preparation of financial statements.
Refer to the Solution to Exercise 4-2. Use the completed worksheet for Carl's Video Service, Inc. to:
(a) Prepare an income statement for the year ending April 30, 2014.
(b) Prepare a retained earnings statement for the year ending April 30, 2014.
(c) Prepare a classified balance sheet at April 30, 2014.