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(The following information applies to the questions displayed below) Cascade Company was started on January 1, Year 1, when it acquired $60,000 cash from the

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(The following information applies to the questions displayed below) Cascade Company was started on January 1, Year 1, when it acquired $60,000 cash from the owners. During Year 1, th company earned cash revenues of $35,000 and incurred cash expenses of $18,000. The company also paid cash distributions of $4,000 Required Prepare a Year income statement, capital statement (statement of changes in equity), balance sheet, and statement on cash flows under each of the following assumptions. (Consider each assumption separately) Cascade is a sole proprietorship owned by Carl Cascade Complete this question by entering your answers in the tabs below. Stmt of The Stmt Changes Bal Sheet Cash Flows Prepare an income statement for Year 1. CASCADE COMPANY Income Statement For the Year Ended December 31, Year 1 $ 0 Stof Changes > a. Cascade is a sole proprietorship owned by Carl Cascade. Complete this question by entering your answers in the tabs below. Inc Stmt Stmt of Changes Bal Sheet Cash Hows Prepare a capital statement (statement of changes in equity) for Year 1. (eductions should be indicated by a minus sign.) CASCADE COMPANY Capital Statement For the Year Ended December 31, Year 1 (Beginning capital balance Plus Capital acquired from owner 60,000 Plus Net Income 16.900 Less: Withdrawal by owner 4,000 80.900 Inc Stml Bal Sheet > a. Cascade is a sole proprietorship owned by Carl Cascade Complete this question by entering your answers in the tabs below. Cash Flows Ine Stmt Stmt of Changes Bal Sheet Prepare a balance sheet for Year 1. CASCADE COMPANY Balance Sheet As of December 31, Year 1 Assets Cash 72,900 $ 72.900 Total Assets Liabilities Equity Carl Cascade, capital 72,900 Total liabilities and equity 72.900 (Stmt of Changes Cash Flows > Inc Stmt Stmt of Changes Bal Sheet Cash Flows Prepare a statement of cash flows for Year 1. (Cash outflows should be indicated with a minus sign.) CASCADE COMPANY Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities: 16,900 $ 16,900 Net cash flow from operating activities Cash flows from investing activities Cash flows from financing activities: Net cash flow from financing activities Net change in cash 0 16,900 Ending cash balance $ 16,900

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