The Lowe Company was founded in 2019; since then, the company has been fairly successful; however,...

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The Lowe Company was founded in 2019; since then, the company has been fairly successful; however, in an effort to save some money, the president has been keeping track of the financial records rather than hiring a professional accountant. Although some data is missing, a comparative report of year-end account balances appears below; all numbers are as of December 31st unless noted otherwise. 2023 2022 Dividends 3,200 4,800 Advertising expense ? 6,400 Common stock 40,000 40,000 Cash 18,600 13,500 Retained earnings, Jan. 1 221,900 ? Equipment 337,230 273,400 Supplies expense 500 300 Notes payable 20,000 16,000 Rent expense 13,100 12,800 Supplies 230 730 Accounts payable ? 10,600 Revenues 183,000 164,000 Accounts receivable 2,800 ? Payroll expense 93,000 82,000 Retained earnings, Dec. 31 287,800 221,900 Required: a. Prepare an income statement, statement of retained earnings and a balance sheet for each year and determine the missing values. b. Assess the company's comparative results for the two-year period from the perspective of a bank and then from the perspective of an investor (i.e. did things get better or worse from those perspectives and why). If you were a bank would you lend the company more money? If you were an investor would you consider investing more money in the company? Briefly explain your decisions. c. During January of 2024, the company had the following transactions/events: Jan. 1 Owners invested another $8,000 into the company Purchased $8,100 of equipment Jan. 2 Jan. 3 Paid $250 for advertising Jan. 6 Purchased $400 of supplies on account Jan. 10 Paid rent of $8,000 Jan. 14 Sold services to customers for $32,400 Jan. 18 Borrowed $4,000 from a bank Jan. 31 A $680 dividend is paid to owners Jan. 31 Jan. 31 Paid employee payroll of $14,000 Supplies on hand reported at $180 Prepare a tabular analysis for January, record the necessary transactions and then prepare statement of cash flows, income statement, statement of retained earnings and balance for the company. The Lowe Company was founded in 2019; since then, the company has been fairly successful; however, in an effort to save some money, the president has been keeping track of the financial records rather than hiring a professional accountant. Although some data is missing, a comparative report of year-end account balances appears below; all numbers are as of December 31st unless noted otherwise. 2023 2022 Dividends 3,200 4,800 Advertising expense ? 6,400 Common stock 40,000 40,000 Cash 18,600 13,500 Retained earnings, Jan. 1 221,900 ? Equipment 337,230 273,400 Supplies expense 500 300 Notes payable 20,000 16,000 Rent expense 13,100 12,800 Supplies 230 730 Accounts payable ? 10,600 Revenues 183,000 164,000 Accounts receivable 2,800 ? Payroll expense 93,000 82,000 Retained earnings, Dec. 31 287,800 221,900 Required: a. Prepare an income statement, statement of retained earnings and a balance sheet for each year and determine the missing values. b. Assess the company's comparative results for the two-year period from the perspective of a bank and then from the perspective of an investor (i.e. did things get better or worse from those perspectives and why). If you were a bank would you lend the company more money? If you were an investor would you consider investing more money in the company? Briefly explain your decisions. c. During January of 2024, the company had the following transactions/events: Jan. 1 Owners invested another $8,000 into the company Purchased $8,100 of equipment Jan. 2 Jan. 3 Paid $250 for advertising Jan. 6 Purchased $400 of supplies on account Jan. 10 Paid rent of $8,000 Jan. 14 Sold services to customers for $32,400 Jan. 18 Borrowed $4,000 from a bank Jan. 31 A $680 dividend is paid to owners Jan. 31 Jan. 31 Paid employee payroll of $14,000 Supplies on hand reported at $180 Prepare a tabular analysis for January, record the necessary transactions and then prepare statement of cash flows, income statement, statement of retained earnings and balance for the company.