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Income Statement Stmt of Changes in Balance Sheet Statement of Cash Flows Stkholders Eq Prepare the statements of changes in stockholders' equity for each of the five years. Present the statements in the form of a vertical statements model. Net income/(loss) Total stockholders' equity BENSEN COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31 Year 1 Year 2 Income Statement Year 3 Year 4 Balance Sheet > Year 5

Income Statement Stmt of Changes in Balance Sheet Statement of Cash Flows Stkholders Eq Prepare the statements of changes in stockholders' equity for each of the five years. Present the statements in the form of a vertical statements model. Net income/(loss) Total stockholders' equity BENSEN COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31 Year 1 Year 2 Income Statement Year 3 Year 4 Balance Sheet > Year 5

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Statement of Changes in Stockholders Equity only

Bensen Company started business by acquiring $27,500 cash from the issue of common stock on January 1, Year 1. The cash acquired was immediately used to purchase equipment for $27,500 that had a $3,500 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume that all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $4,090 cash. Bensen uses straight-line depreciation. Revenue Year 1 $7,750 Income Statement Year 2 $8,250 Required Prepare income statements, statements of changes in stockholders' equity, balance sheets, and statements of cash flows for each of the five years. Present the statements in the form of a vertical statements model. Stmt of Changes in Balance Sheet Stkholders Eq Net income/(loss) Year 3 $8,450 Complete this question by entering your answers in the tabs below. Total stockholders' equity Year 4 $7,250 Statement of Cash Flows Year 5 $0 Prepare the statements of changes in stockholders' equity for each of the five years. Present the statements in the form of a vertical statements model. BENSEN COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31 Year 1 Year 2 Income Statement Year 3 Year 4 Balance Sheet Year 5
Transcribed Image Text:Bensen Company started business by acquiring $27,500 cash from the issue of common stock on January 1, Year 1. The cash acquired was immediately used to purchase equipment for $27,500 that had a $3,500 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume that all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $4,090 cash. Bensen uses straight-line depreciation. Revenue Year 1 $7,750 Income Statement Year 2 $8,250 Required Prepare income statements, statements of changes in stockholders' equity, balance sheets, and statements of cash flows for each of the five years. Present the statements in the form of a vertical statements model. Stmt of Changes in Balance Sheet Stkholders Eq Net income/(loss) Year 3 $8,450 Complete this question by entering your answers in the tabs below. Total stockholders' equity Year 4 $7,250 Statement of Cash Flows Year 5 $0 Prepare the statements of changes in stockholders' equity for each of the five years. Present the statements in the form of a vertical statements model. BENSEN COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31 Year 1 Year 2 Income Statement Year 3 Year 4 Balance Sheet Year 5
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