Prepare Statements for a Service Company
Chuck’s Brokerage Service (CBS) is a discount financial services firm offering clients investment advice, trading services, and a variety of mutual funds for investment. Chuck has collected the following information for October:
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A |
B |
C |
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1 |
Advertising and marketing |
$180,000 |
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2 |
Brokerage commissions (revenues) |
6,000,000 |
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3 |
Building rent and utilities |
350,000 |
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4 |
Fees from clients for investment advice |
3,000,000 |
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5 |
Fees paid to execute trades |
4,000,000 |
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6 |
Labor cost for advice |
1,600,000 |
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7 |
Managers’ salaries |
600,000 |
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8 |
Sales commissions to brokers |
500,000 |
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9 |
Training programs for brokers |
850,000 |
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10 |
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Required
Prepare an income statement for October for CBS.