G H 1 Unadjusted Trial Adjusted Trial Income Balance Sheet & Statement 2 Balance Adjustments Balance Statement of Owner's Equity 3 4 Account Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit 5 Cash 113,718 113,718 113,718 6 Petty cash 7 Accounts receivable 8 Allowance for doubtful accounts 9 Prepaid rent 10 Supplies 100 100 100 39,390 39,390 39,390 1,940 2,722 4,662 4,662 3,000 3,000 825 615 210 210 11 Merchandise inventory 14,400 14,400 14,400 12 Equipment 9,000 9,000 9,000 27,000 27,000 13 Van 14 Building 15 Accumulated depreciation 27,000 125,000 125,000 125,000 23,050 5,025 28,075 28,075 16 Land 25,000 25,000 25,000 17 Accounts payable 18 Interest payable 390 390 19 Sales tax payable 20 Employee income tax payable 21 FICA--Social Security tax payable 22 FICA--Medicare tax payable 23 Unemployment tax payable 24 Warranty payable 25 Notes payable 26 Bends payable 27 Discount on bonds payable 28 Retained Earnings 29 Common stock 30 Dividends 390 1,000 1,000 1,000 420 420 840 840 105 105 210 210 945 945 945 938 1,856 918 918 92,762 92,762 92,762 50,000 50,000 50,000 800 800 800 107,918 107,918 107,918 50,000 50,000 50,000 10,000 10,000 10,000 31 Sales 92,800 92,800 92,800 32 Service revenue 120,000 120,000 120,000 33 Cost of goods sold 34 Salaries expense 35 Payroll tax expense 36 37 Interest expense 38 Credit card expense 47,620 47,620 47,620 82,000 82,000 82,000 5,625 945 7,095 7,095 525 10,840 10,840 10,840 1,440 1,440 1,440 18,000 39 Advertising expense 40 Office supplies expense 41 Maintenance expense 42 Utilities expense 43 Supplies expense 4 Rent expense 45 Bad debts expense 46 Depreciation expense 47 Warranty expense 48 Totals 18,000 18,000 24 24 24 65 65 65 5,600 5,600 5,600 615 615 615 3,000 3,000 3,000 2,722 2,722 2,722 5,025 5,025 5,025 1,856 1,856 1,856 540,385 540,385 14,688 14,688 550,520 550,520 185,902 212,800 364,618 337,720 49 Net Income 26,898 26,898 50 Totals 212,800 212,800 364,618 364,618
Dividend Valuation
Dividend refers to a reward or cash that a company gives to its shareholders out of the profits. Dividends can be issued in various forms such as cash payment, stocks, or in any other form as per the company norms. It is usually a part of the profit that the company shares with its shareholders.
Dividend Discount Model
Dividend payments are generally paid to investors or shareholders of a company when the company earns profit for the year, thus representing growth. The dividend discount model is an important method used to forecast the price of a company’s stock. It is based on the computation methodology that the present value of all its future dividends is equivalent to the value of the company.
Capital Gains Yield
It may be referred to as the earnings generated on an investment over a particular period of time. It is generally expressed as a percentage and includes some dividends or interest earned by holding a particular security. Cases, where it is higher normally, indicate the higher income and lower risk. It is mostly computed on an annual basis and is different from the total return on investment. In case it becomes too high, indicates that either the stock prices are going down or the company is paying higher dividends.
Stock Valuation
In simple words, stock valuation is a tool to calculate the current price, or value, of a company. It is used to not only calculate the value of the company but help an investor decide if they want to buy, sell or hold a company's stocks.
Prepare a statement of changes in
(See attached image).

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