The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the closing entries were posted: Account Title Cash $175,000 Accounts receivable 138,000 Allowance for doubtful accounts $ 24,500 Inventory 451,000 Accounts payable 108,000 Common stock 515,000 Retained earnings 116,500 Tile, Etc. had the following transactions in 2018: 1. Purchased merchandise on account for $645,000. 2. Sold merchandise that cost $485,000 for $1,020,000 on account. 3. Sold for $310,000 cash merchandise that had cost $186,000. 4. Sold merchandise for $255,000 to credit card customers. The merchandise had cost $122,000. The credit card company charges a 3 percent fee. 5. Collected $750,000 cash from accounts receivable. 6. Paid $675,000 cash on accounts payable. 7. Paid $158,000 cash for selling and administrative expenses. 8. Collected cash for the full amount due from the credit card company (see item 4). 9. Loaned $63,000 to J. Parks. The note had an 8 percent interest rate and a one-year term to maturity. 0. Wrote off $8,800 of accounts as uncollectible. 11. Made the following adjusting entries: (a) Recorded uncollectible accounts expense estimated at 1 percent of sales on account. (b) Recorded seven months of accrued interest on the note at December 31, 2018 (see item 9). Complete this question by entering your answers in the tabs below. Req A Req B1 Req B2 Req B3 Req B4 Prepare an income statement for 2018. TILE, ETC., INC. Income Statement For the Year Ended December 31, 2018 Sales revenue Cost of goods sold Gross margin Operating expenses Credit card expense Selling and administrative expense Uncollectible accounts expense Total operating expenses Operating income Add: Non-operating items Interest revenue Net income Complete this question by entering your answers in the tabs below. Req A Req B1 Req B2 Reg B3 Req B4 Prepare a statement of changes in stockholders' equity for 2018. TILE, ETC., INC. Statement of Changes in Stockholders' Equity For the Year Ended December 31, 2018 Feginning common stock Flus: Stock issued Ending common stock eginning retained earnings Flus: Net income Ending retained earnings otal stockholders' equity $ 0 Nc ncy De ncy DJ Prepare a balance sheet for 2018. (Be sure to list the assets in the order of their liquidity.) TILE, ETC., INC. Balance Sheet As of December 31, 2018 Assets Total assets Liabilities Total liabilities Stockholders' equity Total stockholders' equity Total liabilities and stockholders' equity 0 NCY 01 NCY 02 You ncy V+ Prepare a statement of cash flows for 2018. (Amounts to be deducted should be indicated with a minus sign.) TILE, ETC., INC. Statement of Cash Flows For the Year Ended December 31, 2018 Cash flows from operating activities Net cash flow from operating activities Cash flows from investing activities Net cash flows from investing activities Cash flows from financing activities Net change in cash Ending cash balance $ 0 The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the closing entries were posted: Account Title Cash $175,000 Accounts receivable 138,000 Allowance for doubtful accounts $ 24,500 Inventory 451,000 Accounts payable 108,000 Common stock 515,000 Retained earnings 116,500 Tile, Etc. had the following transactions in 2018: 1. Purchased merchandise on account for $645,000. 2. Sold merchandise that cost $485,000 for $1,020,000 on account. 3. Sold for $310,000 cash merchandise that had cost $186,000. 4. Sold merchandise for $255,000 to credit card customers. The merchandise had cost $122,000. The credit card company charges a 3 percent fee. 5. Collected $750,000 cash from accounts receivable. 6. Paid $675,000 cash on accounts payable. 7. Paid $158,000 cash for selling and administrative expenses. 8. Collected cash for the full amount due from the credit card company (see item 4). 9. Loaned $63,000 to J. Parks. The note had an 8 percent interest rate and a one-year term to maturity. 0. Wrote off $8,800 of accounts as uncollectible. 11. Made the following adjusting entries: (a) Recorded uncollectible accounts expense estimated at 1 percent of sales on account. (b) Recorded seven months of accrued interest on the note at December 31, 2018 (see item 9). Complete this question by entering your answers in the tabs below. Req A Req B1 Req B2 Req B3 Req B4 Prepare an income statement for 2018. TILE, ETC., INC. Income Statement For the Year Ended December 31, 2018 Sales revenue Cost of goods sold Gross margin Operating expenses Credit card expense Selling and administrative expense Uncollectible accounts expense Total operating expenses Operating income Add: Non-operating items Interest revenue Net income Complete this question by entering your answers in the tabs below. Req A Req B1 Req B2 Reg B3 Req B4 Prepare a statement of changes in stockholders' equity for 2018. TILE, ETC., INC. Statement of Changes in Stockholders' Equity For the Year Ended December 31, 2018 Feginning common stock Flus: Stock issued Ending common stock eginning retained earnings Flus: Net income Ending retained earnings otal stockholders' equity $ 0 Nc ncy De ncy DJ Prepare a balance sheet for 2018. (Be sure to list the assets in the order of their liquidity.) TILE, ETC., INC. Balance Sheet As of December 31, 2018 Assets Total assets Liabilities Total liabilities Stockholders' equity Total stockholders' equity Total liabilities and stockholders' equity 0 NCY 01 NCY 02 You ncy V+ Prepare a statement of cash flows for 2018. (Amounts to be deducted should be indicated with a minus sign.) TILE, ETC., INC. Statement of Cash Flows For the Year Ended December 31, 2018 Cash flows from operating activities Net cash flow from operating activities Cash flows from investing activities Net cash flows from investing activities Cash flows from financing activities Net change in cash Ending cash balance $ 0