Creating a complete set of financial statements which include a balance sheet, income statement, statement of stockholder's equity, and a cash flow statement using the indirect method. For the cash flow statement it needs to include operating, investing, and financing activities.
Here is some additional information:
Note that credits are negative amounts and debits are positive amounts in the trial balance.
Note the numbering of the accounts in the trial balance.
- 1000 = Assets
- 2000 = Liabilities
- 3000 = Equity
- 4000 = Revenue
- 5000 - 9000 = Expenses
The Excel workbook in Blackboard contains both the 2016/2015 trial balances AND the 2014 balance sheet.
The issuance of the 2,000 shares of common stock, $1 par value was made during the first year of operations (2008). All of the 2,000 shares are authorized and outstanding. They were issued at par.
Accounts receivable - The company uses the direct write-off method. Due to extreme vigilance by the AR department, there have been no write-offs necessary during 2015 and 2016.
Future maturities for the note payable as of 12/31/15:
- 2016: $37,326
- 2017: $38,041
- 2018: $32,258
The note payable was entered into during 2015. The proceeds were $107,625.
Capital Leases:
- $20,884 of minimum lease payments will be due in 2016.
- $55,802 of minimum lease payments will be due in 2017.
Cash paid for capital lease obligations during 2016 was $45,931 and 2015 was $31,484. New capital leases entered into totaled $212,234 during 2016. There were no new capital leases entered into during 2015.
Property was sold in 2016 for $9,000 and in 2015 for $750. Both assets were fully depreciated at the time of the sale.
Property was purchased in 2016 for $310,583 and in 2015 for $165,479.
Add the change in dividends payable with the expense to find the cash paid for the cash flow statement.
Also could you show me how you got the values in the statements?
Attachment:- Assignment File.rar