The following amounts were taken from the accounting records of Padget Home Services, Inc., as of December 31, 20Y7. Padget Home Services began its operations on January 1, 20Y7.

Cash		$ 60,000
Common stock		75,000
Dividends		15,000
Fees earned		620,000
Interest expense		4,800
Land		215,000
Miscellaneous expense		10,200
Notes payable		80,000
Rent expense		70,000
Salaries expense		272,000
Taxes expense		43,000
Utilities expense		85,000

After its second year of operations, the following amounts were taken from the accounting records of Padget Home Services, Inc., as of December 31, 20Y8.

Cash		?
Common stock		$110,000
Dividends		50,000
Fees earned		886,000
Interest expense		7,200
Land		340,000
Miscellaneous expense		13,800
Notes payable		120,000
Rent expense		100,000
Salaries expense		380,000
Taxes expense		65,000
Utilities expense		120,000

Instructions:

a.

Prepare a statement of stockholders equity for the year ending December 31, 20Y8. Note: The retained earnings at January 1, 20Y8, was $120,000. If your answer is zero enter "0".

Padget Home Services, Inc.
Statement of Stockholders Equity
For the Year Ending December 31, 20Y8
	Common Stock	Retained Earnings	Total
Balances, January 1, 20Y8	$	$	$
Issued common stock
Net income
Dividends
Balances, Dec. 31, 20Y8	$	$	$

b.

Prepare a balance sheet as of December 31, 20Y8.

Padget Home Services, Inc.
Balance Sheet
December 31, 20Y8
Assets
Cash		$
Land
Total assets		$
Liabilities
Notes payable		$
Stockholders' Equity
Common stock	$
Retained earnings
Total stockholders' equity
Total liabilities and stockholders' equity

c.

Prepare a statement of cash flows for the year ending December 31, 20Y8. Use the minus sign to indicate cash out flows, decreases in cash, or cash payments.

Padget Home Services, Inc.
Statement of Cash Flows
For the Year Ending December 31, 20Y8
Cash flows from operating activities:
	$
		$
Cash flows from investing activities:
Cash flows from financing activities:
	$
		$
		$