During 2012, Young Company had the following transactions: a. Cash dividends of $10,000 were paid. b. Equipment was sold for $4,800. It had an original cost of $18,000 and a book value of $9,000. The loss is included in operating expenses. c. Land with a fair market value of $25,000 was acquired by issuing common stock with a par value of $6,000. d. One thousand shares of preferred stock (no par) were sold for $7 per share. Young Company provided the following income statement (for 2012) and comparative balance sheets: Sales.................................... $ 246,000 Less: Cost of goods sold............. (150,000) Gross margin........................... $ 96,000 Less: Operating expenses............. (66,000) Net income.............................. $ 30,000 Required: Prepare a worksheet for Young Company
During 2012, Young Company had the following transactions: a. Cash dividends of $10,000 were paid. b. Equipment was sold for $4,800. It had an original cost of $18,000 and a book value of $9,000. The loss is included in operating expenses. c. Land with a fair market value of $25,000 was acquired by issuing common stock with a par value of $6,000. d. One thousand shares of preferred stock (no par) were sold for $7 per share. Young Company provided the following income statement (for 2012) and comparative
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