Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows under each of the following assumptions. (Consider each assumption separately.)
Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows under each of the following assumptions. (Consider each assumption separately.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Required information
[The following information applies to the questions displayed below.]
Cascade Company was started on January 1, Year 1, when it acquired $152,000 cash from the owners. During Year 1, the
company earned cash revenues of $95,200 and incurred cash expenses of $67,000. The company also paid cash
distributions of $10,000.
Required
Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statement of
cash flows under each of the following assumptions. (Consider each assumption separately.)
c. Cascade is a corporation. It issued 10,000 shares of $11 par common stock for $152,000 cash to start the business.
Complete this question by entering your answers in the tabs below.
Inc Stmt
Stmt of
Changes
Bal Sheet Cash Flows
Prepare a income statement for Year 1.
CASCADE COMPANY
Income Statement
For the Year Ended December 31, Year 1
< Inc Stmt
Stmt of Changes >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F82edd437-bc56-4a13-8033-aae688ef2d14%2Fc932af20-5ae6-4f80-9576-22d3de6dfee4%2Fnudan3i_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Cascade Company was started on January 1, Year 1, when it acquired $152,000 cash from the owners. During Year 1, the
company earned cash revenues of $95,200 and incurred cash expenses of $67,000. The company also paid cash
distributions of $10,000.
Required
Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statement of
cash flows under each of the following assumptions. (Consider each assumption separately.)
c. Cascade is a corporation. It issued 10,000 shares of $11 par common stock for $152,000 cash to start the business.
Complete this question by entering your answers in the tabs below.
Inc Stmt
Stmt of
Changes
Bal Sheet Cash Flows
Prepare a income statement for Year 1.
CASCADE COMPANY
Income Statement
For the Year Ended December 31, Year 1
< Inc Stmt
Stmt of Changes >
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