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CH Required information The following information applies to the questions displayed below.) At the beginning of 2018, the Redd Company had the following balances in

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CH Required information The following information applies to the questions displayed below.) At the beginning of 2018, the Redd Company had the following balances in its accounts: Cash Inventory Common stock Retained earnings $8,600 2,600 8,100 3,100 During 2018, the company experienced the following events: 1. Purchased Inventory that cost $6,100 on account from Ross Company under terms 2/10, 1/30. The merchandise was delivered FOB shipping point. Freight costs of $560 were paid in cash. 2. Returned $350 of the inventory that it had purchased because the inventory was damaged in transit. The seller agreed to pay the return freight cost. 3. Paid the amount due on its account payable to Redd Company within the cash discount period. 4. Sold inventory that had cost $6,600 for $9,600 on account, under terms 2/10, 1/45. 5. Received merchandise returned from a customer. The merchandise originally cost $560 and was sold to the customer for $860 cash. The customer was paid $860 cash for the returned merchandise, 6. Delivered goods FOB destination in Event 4. Freight costs of $660 were paid in cash. 7. Collected the amount due on the account receivable within the discount period. 8. Took a physical count indicating that $2,300 of Inventory was on hand at the end of the accounting period. c-1. Prepare a multistep income statement. c-2. Prepare a statement of changes in stockholders' equity c-3. Prepare a balance sheet. c-4. Prepare a statement of cash flows. Complete this question by entering your answers in the tabs below. Req C1 Req C2 Req C3 Req C4 Prepare a multistep income statement. REDD COMPANY Income Statement For the Year Ended December 31, 2018 Net sales $ 8,548 Cost of goods sold Gross margin Operating expenses Transportation-out Net income Req C1 Req C2 Reg C3 Req C4 ok Prepare a statement of changes in stockholders' equity. ces REDD COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31, 2018 Beginning common stock $ 8,100 Plus: Stock issued Ending common stock 8,100 Beginning retained earnings $ 3,100 Plus: Net income Ending retained earnings 3,100 Total stockholders' equity $ 11,200 $

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