LITTLE GROCERY SUPPLIER (LGS) Statement of Cash Flows For the Year Ended December 31, Year 2 \begin{tabular}{|l|l|l|} \hline Cash flows from operating activities & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Net cash flow from operating activities & & \\ \hline Cash flows from investing activities: & & \\ \hline & & \\ \hline & & \\ \hline Net cash flow from investing activities & & \\ \hline Cash flows from financing activities & & \\ \hline & & \\ \hline & & \\ \hline Net cash flows from financing activities & & \\ \hline Net change in cash & & \\ \hline & & \\ \hline Ending cash balance & & \\ \hline \end{tabular} LITTLE GROCERY SUPPLIER (LGS) Accounting Equation for the Year 2 Req B Inc Stmt LITTLE GROCERY SUPPLIER (LGS) Balance Sheet As of December 31, Year 2 \begin{tabular}{|l|l|l|} \hline Assets & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total assets & & \\ \hline Liabilities & & \\ \hline & & \\ \hline & & \\ \hline Total liabilities & & \\ \hline Stockholders' equity & & \\ \hline & & \\ \hline & & \\ \hline Total stockholders' equity & & \\ \hline Total liabilities and stockholders' equity & & \\ \hline \end{tabular} LITTLE GROCERY SUPPLIER (LGS) Income Statement For the Year Ended December 31, Year 2 \begin{tabular}{|l|l|l|} \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total expenses & & \\ \hline Operating income & & \\ \hline & & \\ \hline \end{tabular} Transactions for Year 2 1. Acquired an additional $9,700 cash from the issue of common stock. 2. Purchased $59,300 of inventory on account. 3. Sold inventory that cost $62,900 for $95,800. Sales were made on account. 4. The company wrote off $1,110 of uncollectible accounts. 5. On September 1, LGS loaned $9,500 to Eden Co. The note had an 7 percent interest rate and a one-year term. 6. Paid $15,940 cash for operating expenses. 7. The company collected $79,870 cash from accounts receivable. 8. A cash payment of $52,130 was paid on accounts payable. 9. The company paid a $5,100 cash dividend to the stockholders. 10. Uncollectible accounts are estimated to be 2 percent of sales on account. 11. Recorded the accrued interest at December 31, Year 2 (see item 5). Required a. Organize the transaction data in accounts under an accounting equation. b. Prepare an income statement, a statement of changes in stockholders' equity, a balance sheet, and a statement of cash flows for Year 2. LITTLE GROCERY SUPPLIER (LGS) Statement of Changes in Stockholders' Equity For the Year Ended December 31, Year 2