Green Valley Company prepared the following trial balance at the end of its first year of operations ending December 31. To simplify the case, the amounts given are in thousands of dollars. UNADJUSTED Account Titles Cash Accounts receivable Prepaid insurance Machinery Accumulated depreciation. Accounts payable Wages payable Income taxes payable Common stock (6,000 shares) Additional paid-in capital Retained earnings Revenues (not detailed) Expenses (not detailed) Totals Debit 15 12 7 74 22 13 Other data not yet recorded at December 31 include a. Insurance expired during the current year, $4. b. Wages payable, $6. c. Depreciation expense for the current year, $8. d. Income tax expense, $9. Credit 6 54 68 136 Required: 1. Using the adjusted balances, prepare an income statement for the current year. 2. Using the adjusted balances, prepare statement of stockholders' equity for the current year. The balance in retained earnings represents dividends that were declared and paid in the current year. 3. Using the adjusted balances, prepare balance sheet for the current year.
Green Valley Company prepared the following trial balance at the end of its first year of operations ending December 31. To simplify the case, the amounts given are in thousands of dollars. UNADJUSTED Account Titles Cash Accounts receivable Prepaid insurance Machinery Accumulated depreciation. Accounts payable Wages payable Income taxes payable Common stock (6,000 shares) Additional paid-in capital Retained earnings Revenues (not detailed) Expenses (not detailed) Totals Debit 15 12 7 74 22 13 Other data not yet recorded at December 31 include a. Insurance expired during the current year, $4. b. Wages payable, $6. c. Depreciation expense for the current year, $8. d. Income tax expense, $9. Credit 6 54 68 136 Required: 1. Using the adjusted balances, prepare an income statement for the current year. 2. Using the adjusted balances, prepare statement of stockholders' equity for the current year. The balance in retained earnings represents dividends that were declared and paid in the current year. 3. Using the adjusted balances, prepare balance sheet for the current year.
Chapter6: Business Expenses
Section: Chapter Questions
Problem 44P
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![Green Valley Company prepared the following trial balance at the end of its first year of operations ending December 31. To simplify
the case, the amounts given are in thousands of dollars.
Account Titles
Cash
Accounts receivable
Prepaid insurance
Machinery
Accumulated depreciation.
Accounts payable
Wages payable
Income taxes payable
Common stock (6,000 shares)
Additional paid-in capital
Retained earnings
Revenues (not detailed)
Expenses (not detailed)
Totals
UNADJUSTED
Debit
15
12
2274
74
6
22
136
Other data not yet recorded at December 31 include
a. Insurance expired during the current year, $4.
b. Wages payable, $6.
c. Depreciation expense for the current year, $8.
d. Income tax expense, $9.
Credit
6
54
68
136
Required:
1. Using the adjusted balances, prepare an income statement for the current year.
2. Using the adjusted balances, prepare statement of stockholders' equity for the current year. The balance in retained earnings
represents dividends that were declared and paid in the current year.
3. Using the adjusted balances, prepare balance sheet for the current year.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fca50ba25-6f90-4eae-a8ed-8be79afee5c9%2F2c79683f-c32e-4d4d-a480-28683c07fb6d%2F0gwkyin_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Green Valley Company prepared the following trial balance at the end of its first year of operations ending December 31. To simplify
the case, the amounts given are in thousands of dollars.
Account Titles
Cash
Accounts receivable
Prepaid insurance
Machinery
Accumulated depreciation.
Accounts payable
Wages payable
Income taxes payable
Common stock (6,000 shares)
Additional paid-in capital
Retained earnings
Revenues (not detailed)
Expenses (not detailed)
Totals
UNADJUSTED
Debit
15
12
2274
74
6
22
136
Other data not yet recorded at December 31 include
a. Insurance expired during the current year, $4.
b. Wages payable, $6.
c. Depreciation expense for the current year, $8.
d. Income tax expense, $9.
Credit
6
54
68
136
Required:
1. Using the adjusted balances, prepare an income statement for the current year.
2. Using the adjusted balances, prepare statement of stockholders' equity for the current year. The balance in retained earnings
represents dividends that were declared and paid in the current year.
3. Using the adjusted balances, prepare balance sheet for the current year.
![Required 1 Required 2 Required 31
Using the adjusted balances, prepare an income statement for the current year.
Note: Enter your answers in thousands. Round "Earnings per share" to 2 decimal places.
GREEN VALLEY COMPANY
Income Statement
For the Current Year Ended December 31
(in thousands of dollars)
Revenues (not detailed)
Expenses
Pretax income
Income tax expense
Net income
Earnings per share
68
40
28
9
19
9.50 x
< Required 1
Required 2 >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fca50ba25-6f90-4eae-a8ed-8be79afee5c9%2F2c79683f-c32e-4d4d-a480-28683c07fb6d%2Fd8r6w2_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required 1 Required 2 Required 31
Using the adjusted balances, prepare an income statement for the current year.
Note: Enter your answers in thousands. Round "Earnings per share" to 2 decimal places.
GREEN VALLEY COMPANY
Income Statement
For the Current Year Ended December 31
(in thousands of dollars)
Revenues (not detailed)
Expenses
Pretax income
Income tax expense
Net income
Earnings per share
68
40
28
9
19
9.50 x
< Required 1
Required 2 >
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