Longhorn Corporation provides low-cost food delivery services to senior citizens. At the end of the year,...
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Longhorn Corporation provides low-cost food delivery services to senior citizens. At the end of the year, the company reports the following amounts: Cash Equipment Accounts payable Delivery expense Salaries expense Service revenue Expenses: In addition, the company had common stock of $25,000 at the beginning of the year and issued an additional $2,600 during the year. The company also had retained earnings of $12,100 at the beginning of the year. Required: 1. Prepare the income statement for Longhorn Corporation. Cost of goods sold Service revenue Cost of goods sold (food expense) $1,400 22,000 3,000 3,000 Supplies Buildings Salaries expense Delivery expense Total expenses Net income 5,900 Salaries payable LONGHORN CORPORATION Income Statement $ 53,800 5.900 3.000 S 69,700 $ 69,700 53,800 26,000 2,000 700 62.700 62,700 S 56,400 2. Prepare the statement of stockholders' equity for Longhorn Corporation. LONGHORN CORPORATION Statement of Stockholders' Equity Beginning balance Ending balance Common Stock $ 26,000 Retained Earnings Total Stockholders' Equity 3. Prepare the balance sheet for Longhorn Corporation. Total assets Assets LONGHORN CORPORATION Balance Sheet Total liabilities Liabilities Stockholders' Equity Total stockholders' equity Total liabilities and stockholders' equity Longhorn Corporation provides low-cost food delivery services to senior citizens. At the end of the year, the company reports the following amounts: Cash Equipment Accounts payable Delivery expense Salaries expense Service revenue Expenses: In addition, the company had common stock of $25,000 at the beginning of the year and issued an additional $2,600 during the year. The company also had retained earnings of $12,100 at the beginning of the year. Required: 1. Prepare the income statement for Longhorn Corporation. Cost of goods sold Service revenue Cost of goods sold (food expense) $1,400 22,000 3,000 3,000 Supplies Buildings Salaries expense Delivery expense Total expenses Net income 5,900 Salaries payable LONGHORN CORPORATION Income Statement $ 53,800 5.900 3.000 S 69,700 $ 69,700 53,800 26,000 2,000 700 62.700 62,700 S 56,400 2. Prepare the statement of stockholders' equity for Longhorn Corporation. LONGHORN CORPORATION Statement of Stockholders' Equity Beginning balance Ending balance Common Stock $ 26,000 Retained Earnings Total Stockholders' Equity 3. Prepare the balance sheet for Longhorn Corporation. Total assets Assets LONGHORN CORPORATION Balance Sheet Total liabilities Liabilities Stockholders' Equity Total stockholders' equity Total liabilities and stockholders' equity
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Related Book For
Financial Accounting
ISBN: 978-0078025549
3rd edition
Authors: J. David Spiceland, Wayne Thomas, Don Herrmann
Posted Date:
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