$ % 9 8 68 Formatting as Table Merge & Center E33x v fx B C D E F G 1 Background Information: The New Life Dance Company experienced the following events during 2019: M 38 pts. 1 Acquired $40,000 cash from the issue of common stock 2 Paid $15,000 cash to purchase land 3 Borrowed $8,000 in cash 4 Paid $1,500 cash for utilities expense 5 Provided ballet services for $25,000 cash 6 Paid $17,000 cash for other operating expenses 7 Paid $3,200 cash dividend to the stockholders 8 Determined that the market value of the land purchase is now only $15,000 12 Note: There are drop downs for the income Statement and Balance Sheet for the labels. 13 14 a) Complete the accounting equation for the different transactions. The starting balances from January 1 have been included. Once you have completed this 15 you will have the needed information to complete the Income Statement and Balance Sheet Below. 20 Event Cash $ The New Life Dance Company Accounting Equation Assets Liabilities Land Notes Payable + 25,000 $ 1,500 $ 1,500 $ 17,000 Stockholders Equity Account Title For Common Stock + Retained Earnings Retained Earnings $ 40,000 $ 3,200 Balance 8,000 5 28 6 25,000 + $ 1,500 = $ 26,500 + $ 43,200 + $ nhiom 12 Problem 1.4 Problem 1. Problem 1.6 + 4 b) Prepare an income statement for 2019 New Life Dance Company Income Statement For the Year Ended December 31, 2019 43 Net Income C) Prepare a year-end balance Sheet New Life Dance Company Balance Sheet As of December 31, 2019 51 Assets 54 Total Assets 55 Liabilities 56 57 Total Liabilities 58 Stockholders Equity 59 60 Problem 1.2 Problem 1.1 Problem 1.3 Problem 1.4 Problem 1.6 Problem 1.5 +