Exercise 1-21A Preparing financial statements-retained earnings emphasis LO 1-4, 1-5, 1-7, 1-8, 1-9 On January 1, Year 2, the following information was drawn from the accounting records of Carter Company, cash of $575; land of $2,925; notes payable of $875; and common stock of $1750. Required a. Determine the amount of retained earnings as of January 1, Year 2. b. After looking at the amount of retained earnings, the chief executive officer (CEO) wants to pay a $675 cash dividend to the stockholders. Can the company pay this dividend? c. As of January 1, Year 2, what percent of the assets were acquired from creditors? d. As of January 1, Year 2. what percent of the assets were acquired from investors? e. As of January 1, Year 2. what percent of the assets were acquired from retained earnings? f. Create an accounting equation using percentages instead of dollar amounts on the right side of the equation. 9. During Year 2, Carter Company earned cash revenue of $800, paid cash expenses of $450, and paid a cash dividend of $65. (Hint It is helpful to record these events under an accounting equation before preparing the statements.) 9-1. Prepare an income statement dated December 31, Year 2. 9-2. Prepare a statement of changes in stockholders' equity dated December 31, Year 2. 9-3. Prepare a balance sheet dated December 31, Year 2 9-4. Prepare a statement of cash flows dated December 31, Year 2. J. What is the balance in the Revenue account on January 1, Year 2? Complete this question by entering your answers in the tabs below. Req A and B ReqC to E ReqF Req Req G1 Req G2 Req G3 Req G4 Req As of January 1, Year 2, what percent of the assets were acquired from creditors, investors and retained earnings? c. d. Percent of assets acquired from creditors Percent of assets acquired from investors Percent of assets acquired from retained earnings % % Exercise 1-21A Preparing financial statements-retained earnings emphasis LO 1-4, 1-5, 1-7, 1-8, 1-9 On January 1, Year 2, the following Information was drawn from the accounting records of Carter Company cash of $575; land of $2,925, notes payable of $875, and common stock of $1,750. Required a. Determine the amount of retained earnings as of January 1, Year 2 b. After looking at the amount of retained earnings the chief executive officer (CEO) wants to pay a $675 cash dividend to the stockholders. Can the company pay this dividend? c. As of January 1, Year 2, what percent of the assets were acquired from creditors? d. As of January 1. Year 2what percent of the assets were acquired from investors? e. As of January 1 Year 2 what percent of the assets were acquired from retained earnings? 1. Create an accounting equation using percentages instead of dollar amounts on the right side of the equation, 9. During Year 2, Carter Company earned cash revenue of $800, paid cash expenses of $450, and paid a cash dividend of $65. (Hi it is helpful to record these events under an accounting equation before preparing the statements.) 9-1. Prepare an income statement dated December 31, Year 2. 9-2. Prepare a statement of changes in stockholders' equity dated December 31 Year 2. 9-3. Prepare a balance sheet dated December 31, Year 2 9-4. Prepare a statement of cash flows dated December 31, Year 2 j. What is the balance in the Revenue account on January 1, Year 2? Complete this question by entering your answers in the tabs below. Reg A and B ReqC to E ReqF ReqG Req GI Req G2 Req G3 Req G4 Reg) Create an accounting equation using percentages instead of dollar amounts on the right side of the equation. (Round your percentage answers to 1 decimal place.) GARTER COMPANY Accounting Equation as of January 1. Year 2 Assets Liabilities Stockholders' Equity Cash Land - Notes Payable Common Retained Stock Earnings Prev Exercise 1-21A Preparing financial statements-retained earnings emphasis LO 1-4,1-5, 1-7, 1-8, 1-9 on January 1. Year 2. the following information was drawn from the accounting records of Carter Company: cash of $575; fand of $2,925; notes payable of $875, and common stock of $1,750. Required a. Determine the amount of retained earnings as of January 1, Year 2 b. After looking at the amount of retained earnings, the chief executive officer (CEO) wants to pay a $675 cash dividend to the stockholders. Can the company pay this dividend? c. As of January 1 , Year 2 what percent of the assets were acquired from creditors? d. As of January 1, Year 2. what percent of the assets were acquired from investors? e. As of January 1, Year 2. what percent of the assets were acquired from retained earnings? f. Create an accounting equation using porcentages instead of dollar amounts on the right side of the equation. 9. During Year 2. Carter Company earned cash revenue of $800, paid cash expenses of $450, and paid a cash dividend of $65. (Hint it is helpful to record these events under an accounting equation before preparing the statements) 9-1. Prepare an income statement dated December 31, Year 2. 9.2. Prepare a statement of changes in stockholders' equity dated December 31, Year 2. 9-3. Prepare a balance sheet dated December 31, Year 2. 9-4. Prepare a statement of cash flows dated December 31, Year 2 J. What is the balance in the Revenue account on January 1, Year 2? Complete this question by entering your answers in the tabs below. Req A and B Reg C to E ReqF ReqG Req G: Req G2 Reg 3 Re G4 Reg) During Year 2, Carter Company camed cash revenue of $800, paid cash expenses of $450, and paid a cash dividend of $65. (Hint: It is helpful to record these events under an accounting equation before preparing the statements.) (Enter any decreases to account balances with a minus sign. Select "NA" If there is no effect on the "Account Titles for Retained Earnings) Show less CARTER COMPANY Accounting Equation as of December 31. Year 2 Assets = Liabilities Stockholders' Equity Account Titles Notes Cash Land Common for Retained Retained Payable Stock Earnings Earnings ReqF ReqG1 >