Answer Happy

Vanishing Games Corporation (VGC) operates a massively multiplayer online game, charging players a monthly subscription of $15. At the start of January 2021, VGC's income statement accounts had zero balances and its balance sheet account balances were as follows: Cash $ 1,830,000 Accounts Receivable. 242,000 23,100 Supplies Equipment 969,000 451,000 Buildings Land 1,970,000 199,000 Accounts Payable Deferred Revenue 112,000 Notes Payable (due 2025) 141,000 Common Stock 2,100,000 2,933, 100 Retained Earnings. In addition to the above accounts, VGC's chart of accounts includes the following: Service Revenue, Salaries and Wages Expense, Advertising Expense, and Utilities Expense. The January transactions are shown below: a. Received $63,000 cash from customers on 1/1 for subscriptions that had already been earned and charged on account in 2020. b. Purchased 10 new computer servers for $36,000 on 1/2; paid $19,300 cash and signed a three-year note for the remainder owed. c. Paid $19,300 for an Internet advertisement run on 1/3. d. On January 4, purchased and received $5,450 of supplies on account. e. Received $230,000 cash on 1/5 from customers for service revenue earned in January. f. On January 6, paid $5,450 cash for supplies purchased on January 4. g. On January 7, sold 13,400 subscriptions at $15 each for services provided during January. Half was collected in cash and half was sold on account. h. Paid $400,000 in wages to employees on 1/30 for work done in January. i. On January 31, received an electric and gas utility bill for $6,100 for January utility services. The bill will be paid in February.
Stmt of General General Ledger Requirement Income Statement Trial Balance Journal Retained Balance Sheet Earnings The ending balance values from the General Ledger tab flows through to the Trial Balance below. VANISHING GAMES CORPORATION Trial Balance January 31, 2021 Debit Account Title Cash Accounts Receivable Supplies Land Buildings Equipment Notes Receivable (long-term) Accounts Payable Deferred Revenue Notes Payable (long-term) Common Stock Retained Earnings Service Revenue Advertising Expense Office Expenses Salaries and Wages Expense Utilities Expense Total $ $ Analysis 1,685,650 185,700 28,550 1,970,000 451,000 1,005,000 19,300 400,000 6,100 5,751,300 $ Credit 16,700 205,100 112,000 141,000 2,100,000 2,933,100 230,000 13,400 5,751,300
Requirement General Journal General Ledger Trial Balance Income Statement Stmt of Retained Earnings Balance Sheet Analysis Choose the appropriate accounts to be reported on the income statement. However, you will need to calculate and enter the amount of the net income or loss for the period. VANISHING GAMES CORPORATION Income Statement For the Month Ended January 31, 2021 Revenues 230,000 230,000 6,100 400,000 19,300 425,400 (195,400) Stmt of Retained Earnings Service Revenue Total Revenues Utilities Expense Salaries and Wages Expense Advertising Expense Total Expenses Expenses Net Income Trial Balance
General General Requirement Trial Balance Income Statement Stmt of Retained Earnings Balance Sheet Analysis Journal Ledger Prepare the statement of retained earnings for the month ended January 31, 2018. You will need to determine and enter the accounts and balances to prepare the Statement of Retained Earnings. If there are no dividends, include a line that reports Dividends of zero. VANISHING GAMES CORPORATION Statement of Retained Earnings For the Month Ended January 31, 2021 Retained Earnings, January 1, 2021 Retained Earnings, January 31, 2021 Balance Sheet > Income Statement
VANISHING GAMES CORPORATION Balance Sheet At January 31, 2021 $ $ 0 0 0 0 0 0 0 0 0
General Requirement General Journal Trial Balance Income Statement Stmt of Retained Earnings Ledger Calculate net profit margin, expressed as a percent. (Round your answer to 1 decimal place.) Net Profit Margin % Balance Sheet Analysis Balance Sheet Analysis