B D E F G H K M Each of the remaining sheets in this file contains 1) a description of a transaction and 2) a partially completed balance sheet, income statement, and statement of retained earnings. For each transaction, show how the financial statements would change. Each transaction is independent, so you can work through the file in any order you like. All changes are entered in the blue cells on the statements. Each statement has two columns. Values in the first column are selected from a drop-down menu. For a given transaction, there may be several (or even many) blue cells that do not need to be changed. 7 B 30 41 Instructions Trans1 Transz Trans Trans 4 Trans 5 READY Prov Enabled X fx C D EFG H Income Statement Statement of Financial Position ASSETS Current assets: Transaction issued 2,000 shares for $200,000 cash. Gross profit Operating expenses: Total current assets Total assets LABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Total operating expenses Earnings from operations Earnings before income taxes Net income Total current liabilities Total liabilities Shareholders' Equity Statement of Retained Earnings Beginning balance 1 Total shareholders' equity Total liabilities and shareholders' equity Ending balance 25 26 27 29 10 31 32 14 35 319 Trans Instructions Trans READ 03 Q DELL Soy Protected A D EFG H Income Statement Statement of Financial Position ASSETS Current assets: Transaction Borrowed $30,000 cash from a local bank, payable June 30, 2016 Gross profit Operating expenses Total current assets Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Total operating expenses Earnings from operations Earnings before income taxes 4 Net income Total current liabilities 5 16 17 18 19 20 21 Total liabilities Shareholders' Equity Statement of Retained Earnings Beginning balance Total shareholders' equity Total liabilities and shareholders' equity Ending balance 25 26 27 29 30 31 32 33 36 37 38 39 40 Trans T Tramas instructions Trans 2 BEAR E DELL A DEFG H Statement of Financial Position ASSETS Income Statement Current assets: Transaction: Bought a building for $141,000; paid $41,000 in cash and signed a three-year note for the balance Gross profit Operating expenses Total current assets Total operating expenses Earnings from operations 10 11 12 13 Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Earnings before income taxes 14 Net income 15 Total current liabilities 17 Total liabilities Shareholders' Equity Statement of Retained Earnings Beginning balance 18 19 20 21 Total shareholders' equity Total liabilities and shareholders' equity Ending balance 22 25 26 27 28 29 10 31 35 36 31 39 40 Trans T2 Tin Trans Instructions Trans READ 1 DELL D EFG H Income Statement Statement of Financial Position ASSETS Current assets Transaction: Paid cash for equipment that cost $100,000 Gross profit Operating expenses Total current assets Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Total operating expenses Earnings from operations 2 Earnings before income taxes Net income 15 16 Total current liabilities 17 18 Total liabilities Shareholders' Equity Statement of Retained Earnings Beginning balance 19 20 Total shareholders' equity Total liabilities and shareholders' equity 22 Ending balance 24 25 26 27 28 29 30 31 33 34 36 39 40 Trans1 Trans TE Trans Trans READ OS DELL D EFG H Income Statement Statement of Financial Position ASSETS Current assets: Transaction Purchased supplies for $10,000 on account Gross profit Operating expenses Total current assets Total operating expenses Earnings from operations Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Earnings before income taxes 3 Net income Total current liabilities 15 16 17 Total liabilities Shareholders' Equity 18 19 Statement of Retained Earnings Beginning balance 20 Total shareholders' equity Total liabilities and shareholders' equity Ending balance 24 25 26 27 28 31 15 16 37 38 39 40 Trans Trans instructions Trans Trans 3 BEACH so e DELL