In this paper, in addition to presenting the computed answers, please also discuss how you arrived at each answer the accounting problem asks. The accounting problem presents a company's balance sheet, income statement, and statement of cash flows for a theoretical company, Polly's Pet Products. Each of these statements has blank lines. Determine the values that would be appropriate for each blank line. Provide a narrative of how you arrived at each value. Include in this narrative an explanation of:

1. the financial statement being completed;
2. the account being valued;
3. its relationship to the other financial data.

For example, if the accounts payable (AP) line was missing, describe what a balance sheet is and explain that you can derive the AP value based on knowing all the other values of the current liabilities section. Then explain what an account liability is, as well as why it would belong in the current liabilities section of the balance sheet. Finally, analyze, evaluate, and develop a conclusion about the company's performance based on the completed statements.

Please refer to the income statement, balance sheet, and statement of cash flows ofPolly's Pet Products.

Superior papers will mention and explain the following elements when responding to the assignment question:

• Provide correct balances for the blank financial account lines.
• Define the financial statement being completed.
• Discuss how the values were determined.
• Define and explain each account line that was completed.
• Analyze, evaluate, and develop conclusions about the company's performance based on the financial information.

This paper will be peer-assessed usingthis rubric. Polly's Pet Products

Balance Sheet as of December 31, 2018 ASSETS CURRENT ASSETS Cash Accounts receivable 50,000 Other assets 25,000 Total current assets LONG TERM ASSETS Fixed Assets 75,000 TOTAL ASSETS LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable 75,000 Accrued expenses Income tax payable 5,000 Current portion of notes payable 12,000 Deferred income taxes 1,500 Total current liabilities 123,500 LONG TERM LIABILITIES Notes payable (long term) TOTAL LIABILITIES 161,500 STOCKHOLDERS' EQUITY Common stock 5,000 Additional paid-in capital 15,000 Retained Earnings Total stockholders' equity TOTAL LIABILITIES AND STOCKHOLDERS EQUITY

Income Statement as of December 31, 2018 Revenues 650,000 Operating Costs Gross Profit 205,000 General and Administrative Expenses 75,000 Operating Income Other Expense 60,000 Income Before Provision for Income Taxes Provision for Income Taxes 5,000 Net Income Retained Earnings, Beginning Balance 103,500 Net Income Retained Earnings, Ending Balance

Polly's Pet Products

Statement of Cash Flows as of December 31, 2018 Cash Flows from Operating Activities Cash received from customers 600,000 Cash paid out to suppliers and employees Interest paid (5,000) Taxes paid (10,000) Net cash provided by operating activities 185,000 Cash Flows from Investing Activities Purchase of fixed assets (25,000) Net cash used in investing activities (25,000) Cash Flows from Financing Activities New loans 50,000 Repayments on loans (45,000) Issuance of common shares of stock 5,000 Net cash provided by financing activities Net change in Cash Cash balance, beginning of year 30,000 Cash balance, end of year