Prepare a calculation to show how much profit was earned by the business during 2020

6c photo you. Transcribed Image Text: 2. Prepare a calculation to show how much profit was earned by the business during 2020.
Calculation of profit for 2020:
Jess LeClaire, Capital December 31, 2019
Jess LeClaire, capital December 31, 2020 Transcribed Image Text: The accounting records of LeClaire Delivery Services show the following assets and liabilities as of the end of 2020 and 2019:
December 31
2020
2019
$ 9,375
11,175
1,650
27,000
73,500
22,500
90,009
18,750
Cash
$ 26, 250
Accounts receivable
Office supplies
14, 250
2, 250
27,000
69,000
Trucks
Office equipment
Land
Building
Accounts payable
Notes payable
3,750
52,500
During December 2020 the owner, Jess LeClaire, purchased a small office building and moved the business from rented quarters to
the new building. The building and the land it occupies cost $112,500. The business paid $60,000 in cash and a note payable was
signed for the balance. LeClaire had to invest $17,500 cash in the business to enable it to pay the $60,000. The business earned a
Profit during 2020, which enabled LeClaire to withdraw $1,500 per month from the business for personal expenses.
Required:
1-a. Prepare balance sheet for the business as of the end of 2019.
LECLAIRE DELIVERY SERVICES
Balance Sheet
December 31, 2019

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