Math  /  Data

QuestionLonghorn Corp needs to prepare its financial statements. Given data includes cash \$1,200, equipment \$29,000, and more.
1. Create the income statement.
2. Create the statement of stockholders' equity.
3. Create the balance sheet.

Studdy Solution
Calculate the total assets, total liabilities, and total liabilities and stockholders' equity.
\begin{align*} \text{Total Assets} & = \$,200 + \$29,000 + \$53,400 + \$40,000 = \$123,600 \\ \text{Total Liabilities} & = \$4,400 + \$3,400 = \$7,800 \\ \text{Total Liabilities and Stockholders' Equity} & = \$7,800 + \$136,800 = \$144,600 \\ \end{align*}
The financial statements for Longhorn Corporation are as followsIncome StatementService Revenue ,200LessExpensesCostofGoodsSold(FoodExpense):,200Less ExpensesCost of Goods Sold (Food Expense): 67,700Delivery Expense 2,600SalariesExpense2,600Salaries Expense 5,500Net Income -74,600StatementofStockholdersEquityCommonStock,Beginning74,600Statement of Stockholders' EquityCommon Stock, Beginning 40,000Common Stock Issued 4,000Retainedarnings,Beginning4,000Retainedarnings, Beginning 18,200Net Income/Loss -74,600TotalStockholdersEquity74,600Total Stockholders' Equity 136,800Balance SheetAssetsCash ,200Equipment,200Equipment 29,000Buildings 53,400Supplies53,400Supplies 40,000Total Assets 123,600LiabilitiesAccountsPayable123,600LiabilitiesAccounts Payable 4,400Salaries Payable 3,400TotalLiabilities3,400Total Liabilities 7,800Stockholders' EquityTotal Stockholders' Equity 136,800TotalLiabilitiesandStockholdersEquity136,800Total Liabilities and Stockholders' Equity 144,600

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