Refer to the trial balance for Taggar Enterprises Inc. prepared in P3-10A. In addition to this information, common shares in the amount of $2,000 were issued during the year and $1,250 of the mortgage is currently due.

Instructions
Prepare an income statement, statement of changes in equity, and statement of financial position for the year.

Transcribed Image Text:

3,500 Income tax payable 3,000 Interest expense Accounts payable Accounts receivable Accumulated depreciation-buildings4,000 Inventory Accumulated depreciation-equipment1,000 Land Buildings Cash Common shares Cost of goods sold Dividends declared Equipment Income tax expense 15,000 Long-term investments 1,800 Mortgage payable, due 2025 5,000 Office expense 13,700 Prepaid insurance 2,000 Retained earnings 3,000 Sales 1,000 100 100 5,100 7,400 3.550 15,000 3.300 900 6,250 25,000