Problem: Enterprise A started the 2002 accounting period w/ $30K of assets (all cash), $18K of liabilities, and $4K of common stock. During the year, Enterprise A earned cash revenues of $48K, paid cash expenses of $32K, and paid a cash dividend to stockholders of $2K. Enterprise A also acquired $10K of additional cash from the sale of common stock and paid $6K cash to reduce the liability owed to a bank.
Q1. How do I prepare an income statement, statement of changes in stockholders' equity, and a cash flow for the accounting period.