Problem 8-20A (Algo) Effect of business structure on financial statements LO 8-1

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Cascade Company was started on January 1, Year 1, when it acquired $169,000 cash from the owners. During Year 1, the company earned cash revenues of $83,200 and incurred cash expenses of $60,300. The company also paid cash distributions of $14,500.

Required

Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows under each of the following assumptions. (Consider each assumption separately.)

CASCADE COMPANY Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities: Prepare a balance sheet for Year 1. Complete this question by entering your answers Prepare a capital statement (statement of changes in equit