Prepare Chester, Inc, Income Statement, Balance Sheet, Statement of Retained Earnings, & Statement of cash flow (indirect method).

Additional Information:

Land with the land improvements were sold at book value (no gains or losses) in 2014. Use following accounts- Land, Building and Land Improvements & Other Non-current assets)

New equipment purchased with Cash for $2,739,067 in 2014

New Storage Building purchased with cash for $135,000 in 2015

No investments have been sold or purchased in 2014 or 2015

There are currently 8,275,000 shares of common stock outstanding. No common stock gas been sold or repurchased in any of the after.

The proper format to use for the income statement is:

Sales

Less: Sales Returns & Allowances

Net Sales

Cost of Goods Sold

Gross Profit

Operating Expenses:

Total Operating Expenses

Income Before Other Gains & Losses

Other Gains & Losses

Total Other Gains & Losses

Income Before Income Taxes

Federal Income Tax Expense

State Income Tax Expense

Net Income

Chester, Inc. Trial Balances for years ending December 31, 2013, 2014 and 2015 Account Description Cash on Hand Checking Account - Operating MMKT Accounts Investments - Trading Accounts Receivable Allowance for Doubtful Accounts Other Receivables Inventory Reserve for Inventory Obsolescence Prepaid Insurance Prepaid Rent Office Supplies Land Buildings and Land Improvements Machinery, Equipment, Office Furniture Accum. Depreciation Other Noncurrent Assets Accounts Payable Wages Payable FICA Employee Withholding Medicare Withholding Federal Payroll Taxes Payable State Payroll Taxes Payable FICA Employer Withholding Medicare Employer Withholding Income Taxes Receivable/Payable Line of Credit Current Portion LT Note Payable Interest payable Bonuses payable Dividend payable Long-Term Note Payable Common Stock Paid-in Capital Retained Earnings (Beginning Balance) Dividends Sales Sales Returns Income from Investments Unrealized (Gains) and Losses - Investments Interest Income Cost of Goods Sold Administrative Wages Expense Advertising Expense Auto Expenses Bad Debt Expense Bonus Expense Depreciation Expense Freight Insurance Expense Legal and Professional Expense Maintenance Expense Miscellaneous Office Expense Payroll Tax Expense Pension/Profit-Sharing Plan Ex Phone Postal Property Tax Expense Rent or Lease Expense Research and Development Utilities Warehouse Salaries Warranty Expense Interest Expense Income Tax Expense - Federal Income Tax Expense - State Loss on Legal Settlement 2,013 $2,483 247,646 806,288 6,935,712 20,513,628 (1,578,525) 0 23,531,507 (3,765,000) 1,829,143 250,000 9,259 146,250 779,882 541,522 (205,000) 67,301 (8,934,591) (36,838) (1,648) (730) (7,541) (3,519) (1,648) (730) 0 (12,500,000) 0 0 0 (6,000,000) (10,131,250) (9,278,750) (2,773,900) 6,000,000 (307,716,148) 5,621,979 (665,079) 64,288 (255,379) 176,961,437 21,094,132 1,121,425 261,218 2,028,032 0 166,250 5,378,689 1,067,428 4,506,417 76,420 21,279 1,938,736 3,750,000 95,467 160,042 100,619 3,254,357 38,639,554 169,554 5,791,730 1,375,352 1,093,750 2,956,250 536,250 23,965,000 2014 2015 $2,459 252,858 983,161 6,850,198 56,472,091 (2,387,691) 1,400,000 75,351,471 (12,136,103) 2,830,474 9,565 131,040 698,775 3,280,589 (786,102) (19,488,866) (264,513) (9,452) (12,785) (132,256) (61,630) (9,452) (12,785) (3,205,440) (52,231,360) (677,640) (470,311) (504,000) (15,250,000) (12,762,360) (10,131,250) (9,278,750) ???? 15,250,000 (271,839,067) 12,432,247 (658,672) 85,514 (147,707) 161,029,981 18,344,399 1,161,276 235,763 5,875,403 504,000 581,102 4,749,095 1,045,085 11,037,039 96,020 27,803 1,767,149 3,696,000 57,911 87,140 110,252 1,370,273 532,425 170,765 5,848,120 1,297,104 3,373,056 14,142,240 2,503,200 - $2,511 243,892 1,205,563 6,978,923 49,042,528 (2,942,552) 1,200,000 65,990,780 (10,558,525) 2,667,722 9,182 131,040 833,775 3,280,589 (1,403,257) (12,850,648) (198,384) (7,089) (9,589) (99,192) (46,200) (7,089) (9,589) (6,011,540) (47,481,737) (721,480) (568,429) (459,000) (15,000,000) (12,040,880) ### (9,278,750) ???? 15,000,000 (288,876,206) 23,110,096 (549,387) (128,725) (142,168) 179,103,248 19,706,506 1,058,391 214,001 13,900,800 459,000 617,155 4,325,068 951,774 8,987,069 87,641 25,390 1,609,342 3,366,000 53,651 79,360 101,319 2,230,615 3,080,313 155,600 5,270,689 1,422,381 2,942,147 7,269,540 1,258,000 - Use this worksheet to prepare a Multi-step Income Statement to include EPS Check Figures: 2015 Net Income 2014 Gross Profit 2013 Total Expenses $ $ $ 8,311,390 98,376,839 90,996,701 Use this worksheet to complete a Statement of Retained Earnings Check Figures: 2015 Shareholders' Equity 2014 Shareholders' Equity 2013 Shareholders' Equity $ $ $ 21,171,325 27,859,935 22,624,851 Use this worksheet to complete a Classified Balance Sheet Check Figures: 2015 Total Current Assets 2014 Current Liabilities 2103 Total Assets $ $ $ 113,840,024 92,330,490 50,112,096 Use this Worksheet to complete a Statement of Cash Flows Check Figures: 2015 Net Cash from Operating Activities 2014 Net Cash from Investing Activities 2015 Net Increase (Decrease) in Cash $ $ $ 20,775,751 (2,575,449) 213,488