Dakota Company experienced the following events during Year 2 1. Acquired $15,000 cash from the issue of common stock. 2. Paid $15,000 cash to purchase land. 3. Borrowed $5,000 cash. 4. Provided services for $55,000 cash. 5. Paid $2,000 cash for utilities expense. 6. Paid $45,000 cash for other operating expenses. 7. Paid a $1,000 cash dividend to the stockholders. 8. Determined that the market value of the land purchased in Event 2 is now $16,000. Required a. The January 1, Year 2, general ledger account balances are shown in the following accounting equation. Record the eight events in the appropriate general ledger accounts. Record the amounts of revenue, expense, and dividends in the Retained Earnings column. Provide the appropriate titles for these accounts in the last column of the table. The first event is shown as an example. b-1. Prepare an Income statement for the Year 2 accounting period. b-2. Prepare a statement of changes in equity for the Year 2 accounting period. b-3. Prepare a year-end balance sheet for the Year 2 accounting period. b-4. Prepare a statement of cash flows for the Year 2 accounting period. c-1. Determine the percentage of assets that were provided by retained earnings. c-2. Can you determine the cash in retained earnings? Complete this question by entering your answers in the tabs below. Req A Req Bi Req B2 Req B4 Rec Ci Rec G2 Prepare a statement of cash flows for the Year 2 accounting period. Note: Cash outflows should be indicated with a minus sign. DAKOTA COMPANY -- Statement of Cash Flows For the Year Ended December 31, Year 2 Cash flows from operating activities: Net cash flow from operating activities Cash flows from investing activities. Net cash flow from investing activities Cash flows from financing activities:
Dakota Company experienced the following events during Year 2 1. Acquired $15,000 cash from the issue of common stock. 2. Paid $15,000 cash to purchase land. 3. Borrowed $5,000 cash. 4. Provided services for $55,000 cash. 5. Paid $2,000 cash for utilities expense. 6. Paid $45,000 cash for other operating expenses. 7. Paid a $1,000 cash dividend to the stockholders. 8. Determined that the market value of the land purchased in Event 2 is now $16,000. Required a. The January 1, Year 2, general ledger account balances are shown in the following accounting equation. Record the eight events in the appropriate general ledger accounts. Record the amounts of revenue, expense, and dividends in the Retained Earnings column. Provide the appropriate titles for these accounts in the last column of the table. The first event is shown as an example. b-1. Prepare an Income statement for the Year 2 accounting period. b-2. Prepare a statement of changes in equity for the Year 2 accounting period. b-3. Prepare a year-end balance sheet for the Year 2 accounting period. b-4. Prepare a statement of cash flows for the Year 2 accounting period. c-1. Determine the percentage of assets that were provided by retained earnings. c-2. Can you determine the cash in retained earnings? Complete this question by entering your answers in the tabs below. Req A Req Bi Req B2 Req B4 Rec Ci Rec G2 Prepare a statement of cash flows for the Year 2 accounting period. Note: Cash outflows should be indicated with a minus sign. DAKOTA COMPANY -- Statement of Cash Flows For the Year Ended December 31, Year 2 Cash flows from operating activities: Net cash flow from operating activities Cash flows from investing activities. Net cash flow from investing activities Cash flows from financing activities:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Transcribed Image Text:Dakota Company experienced the following events during Year 2
1. Acquired $15,000 cash from the issue of common stock.
2. Paid $15,000 cash to purchase land.
3. Borrowed $5,000 cash.
4. Provided services for $55,000 cash.
5. Paid $2,000 cash for utilities expense.
6. Paid $45,000 cash for other operating expenses.
7. Paid a $1,000 cash dividend to the stockholders.
8. Determined that the market value of the land purchased in Event 2 is now $16,000.
Required
a. The January 1, Year 2, general ledger account balances are shown in the following accounting equation. Record the eight
events in the appropriate general ledger accounts. Record the amounts of revenue, expense, and dividends in the Retained
Earnings column. Provide the appropriate titles for these accounts in the last column of the table. The first event is shown as an
example.
b-1. Prepare an Income statement for the Year 2 accounting period.
b-2. Prepare a statement of changes in equity for the Year 2 accounting period.
b-3. Prepare a year-end balance sheet for the Year 2 accounting period.
b-4. Prepare a statement of cash flows for the Year 2 accounting period.
c-1. Determine the percentage of assets that were provided by retained earnings. c-2. Can you determine the cash in retained
earnings?
Complete this question by entering your answers in the tabs below.
Req A
Req Bi
Req B2
Req B4
Rec Ci
Rec G2
Prepare a statement of cash flows for the Year 2 accounting period.
Note: Cash outflows should be indicated with a minus sign.
DAKOTA COMPANY --
Statement of Cash Flows
For the Year Ended December 31, Year 2
Cash flows from operating activities:
Net cash flow from operating activities
Cash flows from investing activities.
Net cash flow from investing activities
Cash flows from financing activities:
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