ZOOM INSTRUCTIONS Using the trial balance, create an Income Statement, Retained Earnings Statement, Balance Sheet, and Cash Flow Statement by using formulas. The common stock was issued for cash, the equipment was purchased for cash. This is the first year for Johnson, so cash started at 0, and retained earnings started at zero as well. No dividends were declared or paid. Use the comments as guides in entering your formulas. SEE COMMENTS Johnson Corporation Trial Balance 12/31/2015 Johnson Corporation Income Statement FYE 12/31/2015 Johnson Corporation Retained Earnings Statement EYE 12/31/2015 CR Service Revenue DR 95,500 1,500 3,000 12,000 Beginning Retained Earnings + Net Income Subtotal - Dividends Ending Retained Earnings Cash Accounts Receivable Supplies Equipment Accumulated Depreciation--Equipment Accounts Payable Common Stock Retained Earnings Service Revenue Advertising Expense Rent Expense Salaries Expense Utilities Expense Depreciation Expense Supplies Expense Totals 1,000 2,000 100,000 0 22,000 Advertising Expense Rent Expense Salaries Expense Utilities Expense Depreciation Expense Supplies Expense Net Income 3,000 2,000 4,000 1,000 1,000 2,000 125,000 Johnson Corporation Balance Sheet 12/31/2015 125,000 LIABILITIES Accounts Payable USE THE TRIAL BALANCE TO CREATE FOUR FINANCIAL STATEMENTS ASSETS Cash Accounts Receivable Supplies Equipment - Accum. Depreciation Total Assets STOCKHOLDERS' EQUITY Common Stock Retained Earnings ZOOM + Supplies Expense Net Income Retained Earnings Service Revenue Advertising Expense Rent Expense Salaries Expense Utilities Expense Depreciation Expense Supplies Expense Totals 0 22,000 3,000 2,000 4,000 1,000 1,000 2,000 125,000 125,000 Johnson Corporation Balance Sheet 12/31/2015 LIABILITIES Accounts Payable USE THE TRIAL BALANCE TO CREATE FOUR FINANCIAL STATEMENTS ASSETS Cash Accounts Receivable Supplies Equipment - Accum. Depreciation Total Assets STOCKHOLDERS' EQUITY Common Stock Retained Earnings Johnson Corporation Cash Flow Statement EYE 12/31/2015 CF from OPERATIONS Net Income + Depreciation Expense -Increase in Accounts Receivable -Increase in Supplies + Increase in Accounts Payable Cash Flow from Operations CF from INVESTING Purchase of Equipment CF from FINANCING Issuance of Stock Net Cash Flow + Beginning Balance of Cash Ending Balance of Cash