Required information (The following information applies to the questions displayed below.] Milea Inc. experienced the following events in 2018, its first year of operations: 1. Received $12,000 cash from the issue of common stock. 2. Performed services on account for $45,000. 3. Paid the utility expense of $1,400. 4. Collected $33,110 of the accounts receivable. 5. Recorded $5,600 of accrued salaries at the end of the year. 6. Paid a $1,150 cash dividend to the stockholders. Required a. Record the events in general ledger accounts under an accounting equation. In the last column of the table, provide appropriate account titles for the Retained Earnings amounts. The first transaction has been recorded as an example. (Select "NA" if there is no effect on the "Accounts Titles for Retained Earnings". Enter any decreases to account balances with a minus sign.) MILEA INC. General Ledger Accounts For the Year Ended December 31, 2018 Assets = Liabilities + Stockholders' Equity Accounts - Salaries Common Common Retained Retained Receivable Payable Stock Earnings 12,000 12,000 Accounts Titles for Retained Earnings Event Cash NA + + + + + Totals + Required information [The following information applies to the questions displayed below.] Milea Inc. experienced the following events in 2018, its first year of operations: 1. Received $12,000 cash from the issue of common stock. 2. Performed services on account for $45,000. 3. Paid the utility expense of $1,400. 4. Collected $33,110 of the accounts receivable. 5. Recorded $5,600 of accrued salaries at the end of the year. 6. Paid a $1,150 cash dividend to the stockholders b. Prepare the income statement, statement of changes in stockholders' equity, balance sheet, and statement of cash flows for the 2018 accounting period. Complete this question by entering your answers in the tabs below. Req B1 Req B2 Req B3 Req B4 Prepare the income statement. MILEA INC. Income Statement For the Year Ended December 31, 2018 Expenses Total expenses Req B1 Req B2 Req B3 Req B4 Prepare the statement of changes in stockholders' equity. MILEA INC. Statement of Changes in Stockholders' Equity For the Year Ended December 31, 2018 Beginning common stock Ending common stock Beginning retained earnings Ending retained earnings Total stockholders' equity Req B1 Req B2 Req B3 Req B4 Prepare the balance sheet. MILEA INC. Balance Sheet As of December 31, 2018 Assets Total assets Liabilities Total liabilities Req B1 Req B2 Req B3 Req B4 Prepare the statement of cash flows for the 2018 accounting period. (Amounts to be deducted should be indicated with a minus sign.) MILEA INC. Statement of Cash Flows For the Year Ended December 31, 2018 Cash flow from operating activities Net cash flow from operating activities Cash flow from investing activities Cash flow from financing activities Income statements for Vernon Company for 2018 and 2019 follow: VERNON COMPANY Income Statements 2019 Sales $ 201,400 Cost of goods sold 143,400 Selling expenses 20,500 Administrative expenses 12,500 Interest expense 3,500 Total expenses $179,900 Income before taxes 21,500 Income taxes expense 6,300 Net income $ 15,200 2018 $181,400 121,400 18,500 14,500 5,500 $159,900 21,500 3,200 $ 18,300 Required a. Perform a horizontal analysis, showing the percentage change in each income statement component between 2018 and 2019. b. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. Complete this question by entering your answers in the tabs below. Required A Required B Perform a horizontal analysis, showing the percentage change in each income statement component between 2018 and 2019. (Negative answers should be indicated by a minus sign. Round your answers to 1 decimal place. (i.e., .234 should be entered as 23.4).) VERNON COMPANY Horizontal Analysis of Income Statements Percentage Change over 2018 Sales Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense Net income (loss) Required A Required B Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. (Percentages may not add exactly due to rounding. Round your answers to 1 decimal place. (i.e., .234 should be entered as 23.4).) VERNON COMPANY Vertical Analysis of Income Statements Percentage of Percentage of Sales 2019 Sales 2018 Sales % Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense Net income Selected data from Baird Company follow: Balance Sheets As of December 31 Accounts receivable Allowance for doubtful accounts Net accounts receivable 2018 $409,000 (20,450) $388,550 $475,500 2017 $379,000 (15,160) $363,840 $439,000 Inventories, lower of cost or market Income Statement For the Years Ended December 31 2018 Net credit sales $2,006,000 Net cash sales 415,000 Net sales 2,421,000 Cost of goods sold 1,596,000 Selling, general, and administrative expenses 239,100 Other expenses 39,200 Total operating expenses $1,874,300 2017 $1,752,000 303,000 2,055,000 1,426,000 214,300 22,900 $1,663,200 Required a. Compute the accounts receivable turnover for 2018. b. Compute the inventory turnover for 2018. c. Compute the net margin for 2017. (For all requirements, round your answers to 2 decimal places.) times a. Accounts receivable turnover b. Inventory turnover c. Net margin times Following is the balance sheet of Finch Company for 2018: FINCH COMPANY Balance sheet Assets Cash Marketable securities Accounts receivable Inventory Property and equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Current notes payable Mortgage payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity $ 14,750 8, 340 12,860 10,700 173,500 (12,900) $207,250 $ 8, 420 3,640 4,150 21, 120 113,200 56, 720 $207,250 The average number of common stock shares outstanding during 2018 was 880 shares. Net income for the year was $14,300. Required Compute each of the following: (Round your answers to 2 decimal places.) per share a. Current ratio b. Earnings per share c. Quick (acid-test) ratio d. Return on investment e. Return on equity f. Debt to equity ratio