review the below information, prepare an Income Statement, Statement of Retained Earnings, and a Balance Sheet, and answer questions posed.

On March 1, 2019, Bern Madeoff organized You Can Trust Me Tax Financial Solutions, Inc., a new firm. On March 31, 2019, the companys records showed the following items and amounts:

Cash $ 10,000 Cash Dividends $ 4,360

Accounts Receivable 6,000 Consulting Fees Earned 15,000

Courier Expense 1,000

Office Supplies 4,250 Rent Expense 2,550

Land 50,000 Salaries Expense 5,000

Office Equipment 14,000 Telephone Expense 660

Accounts Payable 3,500 Advertising Expense 680

Common Stock 80,000 Retained Earnings, March 1 0

NOTES:

1. Beginning balance, March 1, 2019, Common Stock was $0.
2. Bern owns 70% of the stock in You Can Trust Me Tax Financial Solutions, Inc.
3. Bern stated that his personally owned car should be part of the business, The car has a Fair Market Value of $25,000
4. Bern owes $8,000 to the IRS for his personal taxes from last year. He is on an installment agreement and is paying $450 a month to extinguish this liability

1) How much in expenses are shown on the Balance Sheet? A) 3500 B) 0 C) 14,000

2)How much in Total Stockholder's Equity is shown on the Balance Sheet?

A)$165,550 B) $80,750 C) $84,250

3)What is the amount of Total Liabilities and Stockholder's Equity shown on the Balance Sheet?

A) 8750 B) 84250 C)90230