Srces Required information P1-1 (Algo) Preparing an Income Statement, Statement of Stockholders' Equity, and Balance Sheet LO1-1 [The following information applies to the questions displayed below] Assume that you are the president of Highlight Construction Company. At the end of the first year of operations (December 31), the following financial data for the company are available: Cash Receivables from customers (all considered collectible) $26,100 12,000 Inventory of merchandise (based on physical count and priced at cost) Equipment owned, at cost less used portion. 82,000 41,500 Accounts payable owed to suppliers Salary payable (on December 31, this was owed to an employee who will be paid on January 10) Total sales revenue 46,740 3,400 119,000 Expenses, including the cost of the merchandise sold (excluding income taxes) 88,200 Common stock (December 31) Income tax expense at 30% x pretax income: a paid during the current year Dividends declared and paid during the current year (Note: The beginning balances in Common stock and Retained earnings are zero because it is the first year of operations.) 7 100, 800 10,900 Assets HIGHLIGHT CONSTRUCTION COMPANY Balance Sheet At December 31, Current Year Cash Receivables from customers Inventory of merchandise Equipment Total assets Accounts payable $ 46,740 Salary payable 3,400 Stockholders' Equity Common stock Retained earnings 100,800 $ 26,100 12,000 82,000 41,500 $ 161,600 $ 50,140 100,800 Total liabilities and stockholders' equity $ 150,940 S