Managerial Finance Winter 2023 Name: Nhat Khanh Phan

Assignment #1 Student #N01646928

Exercise #1
Please fill in all missing amounts (highlighted by green background) in the enclosed Financial
Statements for the small marketing agency Ace Agency Inc., who’s owner is Mrs. Amanda
Brown. Follow the instructions and examples we did together in class.

Ace Agency Inc.

Income Statement
For Month January ending Jan 31st, 2022

Revenues $1855
Expenses $ 2,300

Net income (loss) -$445

Ace Agency Inc.

Statement of Changes in Equity
For Month January ending Jan 31st, 2022

Amanda Brown’s, Capital

Opening Balance Jan 1st,
2022 $1,000

Add: Investments by Owner $ 5,000

Net income -$445 ?
Total $5,555

Less: Withdrawals by Owner $ 1,300

Amanda Brown’s, Capital,

Jan 31st $4,255

Ace Agency Inc.

Statement of Financial Position
January 31st, 2022

Assets Liabilities
Cash $750 Rent payable $ 2,350
Supplies $4655 Equity
Equipment $1,200 Amanda Brown’s Capital $4,255

Total assets $6,605 Total Liabilities & Equity $6,605

Assignment #1 Name:
Student #

Exercise #2
From the following Chart of Accounts prepare three financial statements for a mid-size bakery located
in the downtown Vancouver – Andy’s Delicious Goods for the year ending December 31, 2022.

The owner of the bakery is Mr. Andrei Godoroja, winner of The Great Canadian Baking Show. He
invested all his savings into his bakery business.

You can use the empty drafts of Financial Statements attached on the next page (Page 3) or you can
make your own charts/tables and use the layout which you like the best. Do not forget to include all
necessary information which is mandatory for each Financial Statement (name of statement, date etc.)

Please, put your name and student number in the top right corner of all pages before you submit your
work.

Andy's Delicious Goods, Chart of Accounts, as of Dec 31, 2022

Debit Credit
Cash [Asset] $1,200
Accounts Receivable [Asset] $1,800
Short-term Deposits [Asset] $22,000
Equipment Rental - Expense [Expense] $4,000
Coffee Machine [Asset] $9,200
Kitchen Aid Mixers [Asset] $2,700
Professional Oven [Asset] $5,300
Accounts Payable [Liability] $8,800
Advertising Expense [Expense] $1,250
Utilities payment [Expense] $2,000
Andrei Godoroja’s, Capital as of Jan 1 ‘22 [OE] $48,000
Andrei Godoroja's , Withdrawals of Equity [OE] $4,000
Goods Sold [Expense] $16,500
Promotional Expense [Expense] $850
Salaries - Expense [Expense] $4,200
Depreciation [Expense] $2,230
Inventory [Asset] $1,764
Rent Payable [Expense] $5,000
Trade mark [Asset] $30,000
Revenue from Coffee shop renta [Revenue] $3,600
Unearned Revenue [ Liability] $10,594
Total $92,494 $92,494
Assignment #1 Name:
Student #

Balance Sheet

Income Statement

Statement of the Changes in Owners Equity