Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please help Required information [The following information applies to the questions displayed below.) The following post-closing list of accounts was drawn from the accounts of
Please help
Required information [The following information applies to the questions displayed below.) The following post-closing list of accounts was drawn from the accounts of Little Grocery Supplier (LGS) as of December 31, Year 2: Cash Accounts receivable Allowance for doubtful accounts Inventory Accounts payable Common stock Retained earnings $ 5,250 16,180 2,015 23, 660 7,240 19,300 16,535 Transactions for Year 3 1. Acquired an additional $9,600 cash from the issue of common stock. 2. Purchased $61,800 of inventory on account. 3. Sold inventory that cost $60,900 for $93,700. Sales were made on account 4. The company wrote off $1,230 of uncollectible accounts. 5. On September 1, LGS loaned $7,500 to Eden Co. The note had an 9 percent interest rate and a one-year term. 6. Paid $16,030 cash for operating expenses. 7. The company collected $89,390 cash from accounts receivable. 8. A cash payment of $50,640 was paid on accounts payable. 9. The company paid a $4,200 cash dividend to the stockholders. 10. Uncollectible accounts are estimated to be 1 percent of sales on account. 11. Recorded the accrued interest at December 31, Year 3 (see item 5). Complete this question by entering your answers in the tabs below. Reg B Inc Stmt Req B Stmt SE Reg B Bal Sheet Req B Stmt Cash Flows Prepare an income statement for Year 3. (Enter all final answers in whole dollars.) LITTLE GROCERY SUPPLIER (LGS) Income Statement For the Year Ended December 31, Year 3 Sales revenue Cost of goods sold Gross margin Expenses Uncollectible accounts expense Operating expenses 0 0 Total expenses Operating income Interest revenue Net income Complete this question by entering your answers in the tabs below. Reg B Inc Reg B Stmt SE Stmt Req B Bal Sheet Reg B Stmt Cash Flows Prepare a statement of changes in stockholders' equity for Year 3. (Enter all final answers in whole dollars. Enter deductibles with a minus sign.) LITTLE GROCERY SUPPLIER (LGS) Statement of Changes in Stockholders' Equity For the Year Ended December 31, Year 3 Beginning common stock $ 0 Ending common stock Beginning retained earnings 0 Ending retained earnings Total stockholders' equity $ 0 Prepare a balance sheet for Year 3. (Be sure to list the assets in the order of their liquidity. Enter all final answers in whole dollars.) LITTLE GROCERY SUPPLIER (LGS) Balance Sheet As of December 31, Year 3 Assets 0 $ 0 Total assets Liabilities 0 Total liabilities Stockholders' equity 0 Total stockholders' equity Total liabilities and stockholders' equity $ 0 Rea B Inc Stmt Req B Stmt SE Req B Bal Sheet Req B Stmt Cash Flows Prepare a statement of cash flows for Year 3. (Amounts to be deducted and cash outflows should be indicated with a minus sign. Enter your final answers in whole dollars.) LITTLE GROCERY SUPPLIER (LGS) Statement of Cash Flows For the Year Ended December 31, Year 3 Cash flows from operating activities: $ 0 Net cash flow from operating activities Cash flows from investing activities: 0 Net cash flow from investing activities Cash flows from financing activities: 0 Net cash flows from financing activities Net change in cash 0 Ending cash balance $ 0
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started