P2-4 Financial Statements Dust, Sweep, Repeat Services, Inc. began its operations on January 1, 20Y7 (see Problem 2-3). After its second year of operations, the following amounts were taken from the accounting records of Dust, Sweep, Repeat Services, Inc., as of December 31, 20Y8. Obj. 5 Cash Common stock Dividends Fees earned Interest expense Land Miscellaneous expense Notes payable Rent expense Salaries expense Taxes expense Utilities expense ? $ 55,000 25,000 443,000 3,600 170,000 6,900 60,000 50,000 190,000 32,500 60,000 Instructions 1. Prepare an income statement for the year ended December 31, 20Y8. Answer + 2. Prepare a statement of stockholders' equity for the year ended December 31, 2018. (Note: The retained earnings at January 1, 20Y8, was $24,000.) 3. Prepare a balance sheet as of December 31, 20Y8. 4. Prepare a statement of cash flows for the year ended December 31, 2018. (Hint: You should compare the asset and liability amounts of December 31, 20Y8, with those of December 31, 20Y7, to determine cash used in investing and financing activities. See Problem 2-3 for the December 31, 20Y7, balance sheet amounts.) P2-3 Financial Statements The following amounts were taken from the accounting records of Dust, Sweep, Repeat Services, Inc., as of December 31, 2017. The company began its operations on January 1, 2017. Obj. 3 Cash Common stock Dividends Fees earned Interest expense Land Miscellaneous expense Notes payable Rent expense Salaries expense Taxes expense Utilities expense $ 12,000 15,000 3,000 124,000 960 43,000 2,040 16,000 14,000 54,400 8,600 17,000 Instructions 1. Prepare an income statement for the year ended December 31, 20Y7. Answer Check Figure: 1. Net income, $27,000 2. Prepare a statement of stockholders' equity for the year ended December 31, 20Y7. 3. Prepare a balance sheet as of December 31, 2017. 4. Prepare a statement of cash flows for the year ended December 31, 2017