Accounting

Maltbee Lawn Service Income StatementFor the Month Ended May 31, 2009
Sales                  4,250.00
ExpensesSalaries Expense 2,100.00
Supplies Expense    350.00
Rent Expense    100.00
Amortization - Leasehold Improvements      50.00
Depreciation Exp. - Eqpt. Trailer    100.00                   2,700.00
NET INCOME                  1,550.00

Maltbee Lawn Service Balance SheetMay 31, 2010
ASSETS
Cash on Hand                             690.00
Cash in Bank                             600.00
Prepaid Rent                             500.00
Advances to Employees                             460.00
Supplies                              50.00
Leasehold Improvements                             250.00
Equipment - Trailer                             200.00
TOTAL ASSETS                          2,750.00

LIABILITIES AND EQUITY
Salaries Payable                             200.00
Loans Payable                             600.00
Doug Maltbee, Capital                          1,950.00
TOTAL LIABILITIES AND EQUITY                          2,750.00

Maltbee Lawn Service Income StatementFor the Month Ended June 30, 2009
Sales                            -   ExpensesRent Expense    100.00
Amortization - Leasehold Improvements      50.00
Depreciation Exp. - Eqpt. Trailer    100.00                      250.00
NET LOSS                    (250.00)

Maltbee Lawn Service Balance SheetJune 30, 2009
ASSETS
Cash on Hand                             690.00
Cash in Bank                             600.00
Prepaid Rent                             400.00
Advances to Employees                             460.00
Supplies                              50.00
Leasehold Improvements                             200.00
Equipment - Trailer                             100.00
TOTAL ASSETS                          2,500.00

LIABILITIES AND EQUITY
Salaries Payable                             200.00
Loans Payable                             600.00
Doug Maltbee, Capital                          1,700.00
TOTAL LIABILITIES AND EQUITY                          2,500.00

Maltbee Lawn Service Income StatementFor the Month Ended July 31, 2009
Sales                            -   ExpensesRent Expense    100.00
Amortization - Leasehold Improvements      50.00
Depreciation Exp. - Eqpt. Trailer    100.00                      250.00
NET LOSS                    (250.00)

Maltbee Lawn Service Balance SheetJuly 31, 2009
ASSETS
Cash on Hand                             690.00
Cash in Bank                             600.00
Prepaid Rent                             300.00
Advances to Employees                             460.00
Supplies                              50.00
Leasehold Improvements                             150.00
TOTAL ASSETS                          2,250.00

LIABILITIES AND EQUITY
Salaries Payable                             200.00
Loans Payable                             600.00
Doug Maltbee, Capital                          1,450.00
TOTAL LIABILITIES AND EQUITY                          2,250.00

Maltbee Lawn Service Income StatementFor the Month Ended August 31, 2009
Sales                     500.00
ExpensesRent Expense    100.00
Amortization - Leasehold Improvements      50.00                      150.00
NET INCOME                     350.00

Maltbee Lawn Service Balance SheetAugust 31, 2009
ASSETS
Cash on Hand                              90.00
Cash in Bank                             690.00
Accounts Receivable                             500.00
Prepaid Rent                             200.00
Advances to Employees                             460.00
Supplies                              50.00
Leasehold Improvements                             100.00
TOTAL ASSETS                          2,090.00

LIABILITIES AND EQUITY
Salaries Payable                             200.00
Doug Maltbee, Capital                          1,890.00
TOTAL LIABILITIES AND EQUITY                          2,090.00
Was Maltbees summer work successful Give the reason for your answer.

The work was successful. Though Maltbee had 2 months losses, hes still able to make the total of the 4 months Income Statement positive. (See the income for every month. May  1,550.00 June  (250.00) July  (250.00) August  350.00. The net total of this four is 800.00  a positive amount. That is the net income for the four summer work period.)

What are the steps in the accounting cycle

The following are the steps in the accounting cycle
Journalization  recording of transactions on the General Journal.
Posting  Post the transactions to the General Ledgers.
Summarization on Trial Balance
Posting Adjusting Entries
Preparation of the Adjusted Trial Balance
Making Financial Statements