Required information P1-1 (Algo) Preparing an Income Statement, Statement of Stockholders' Equity, and Balance Sheet LO1-1 [The following information applies to the questions displayed below] Assume that you are the president of Highlight Construction Company. At the end of the first year of operations (December 31), the following financial data for the company are available: Cash Receivables from customers (all considered collectible). Inventory of merchandise (based on physical count and priced at cost) Equipment owned, at cost less used portion. Accounts payable owed to suppliers. Salary payable (on December 31, this was owed to an employee who will be paid on January 10) Total sales revenue Expenses, including the cost of the merchandise sold (excluding income taxes) Income tax expense at 30%x pretax income; all paid during the current year Common stock (December 31). P1-1 Part 2 Dividends declared and paid during the current year (Note: The beginning balances in Common stock and Retained earnings are zero because it is the first year of operations.) 2. Prepare a statement of stockholders' equity for the year HIGHLIGHT CONSTRUCTION COMPANY Statement of Stockholders' Equity Balance January 1, Current year Balance December 31, Current year Common Stock $ 26,200 12,300 72,000 41,500 47,440 2,400 132,000 83,200 7 Retained Earnings 78,90 10,900
Required information P1-1 (Algo) Preparing an Income Statement, Statement of Stockholders' Equity, and Balance Sheet LO1-1 [The following information applies to the questions displayed below] Assume that you are the president of Highlight Construction Company. At the end of the first year of operations (December 31), the following financial data for the company are available: Cash Receivables from customers (all considered collectible). Inventory of merchandise (based on physical count and priced at cost) Equipment owned, at cost less used portion. Accounts payable owed to suppliers. Salary payable (on December 31, this was owed to an employee who will be paid on January 10) Total sales revenue Expenses, including the cost of the merchandise sold (excluding income taxes) Income tax expense at 30%x pretax income; all paid during the current year Common stock (December 31). P1-1 Part 2 Dividends declared and paid during the current year (Note: The beginning balances in Common stock and Retained earnings are zero because it is the first year of operations.) 2. Prepare a statement of stockholders' equity for the year HIGHLIGHT CONSTRUCTION COMPANY Statement of Stockholders' Equity Balance January 1, Current year Balance December 31, Current year Common Stock $ 26,200 12,300 72,000 41,500 47,440 2,400 132,000 83,200 7 Retained Earnings 78,90 10,900
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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need answer for all three requirements with full working please answer in text please underline answer all three requirements . I will upvote.
![Required information
P1-1 (Algo) Preparing an Income Statement, Statement of Stockholders' Equity, and Balance Sheet LO1-1
[The following information applies to the questions displayed below]
Assume that you are the president of Highlight Construction Company. At the end of the first year of operations
(December 31), the following financial data for the company are available:
Cash
Receivables from customers (all considered collectible).
Inventory of merchandise (based on physical count and priced at cost)
Equipment owned, at cost less used portion.
Accounts payable owed to suppliers.
Salary payable (on December 31, this was owed to an employee who will be paid on January 10)
Total sales revenue
Expenses, including the cost of the merchandise sold (excluding income taxes)
Income tax expense at 30%x pretax income; all paid during the current year
Common stock (December 31).
P1-1 Part 2
Dividends declared and paid during the current year
(Note: The beginning balances in Common stock and Retained earnings are zero because it is the first year of operations.)
2. Prepare a statement of stockholders' equity for the year
HIGHLIGHT CONSTRUCTION COMPANY
Statement of Stockholders' Equity
Balance January 1, Current year
Balance December 31, Current year
Common
Stock
$ 26,200
12,300
72,000
41,500
47,440
2,400
132,000
83,200
7
Retained
Earnings
78,90
10,900](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa26fe21e-b0aa-4bd3-9c72-fea4d1637db3%2Fb0af115f-931b-450b-aead-9a0408b33544%2Fefsetlc_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
P1-1 (Algo) Preparing an Income Statement, Statement of Stockholders' Equity, and Balance Sheet LO1-1
[The following information applies to the questions displayed below]
Assume that you are the president of Highlight Construction Company. At the end of the first year of operations
(December 31), the following financial data for the company are available:
Cash
Receivables from customers (all considered collectible).
Inventory of merchandise (based on physical count and priced at cost)
Equipment owned, at cost less used portion.
Accounts payable owed to suppliers.
Salary payable (on December 31, this was owed to an employee who will be paid on January 10)
Total sales revenue
Expenses, including the cost of the merchandise sold (excluding income taxes)
Income tax expense at 30%x pretax income; all paid during the current year
Common stock (December 31).
P1-1 Part 2
Dividends declared and paid during the current year
(Note: The beginning balances in Common stock and Retained earnings are zero because it is the first year of operations.)
2. Prepare a statement of stockholders' equity for the year
HIGHLIGHT CONSTRUCTION COMPANY
Statement of Stockholders' Equity
Balance January 1, Current year
Balance December 31, Current year
Common
Stock
$ 26,200
12,300
72,000
41,500
47,440
2,400
132,000
83,200
7
Retained
Earnings
78,90
10,900
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