E$4-21($Algo$)$ Reporting an Income Statement, Statement of Stockholders' Equity, and Balance Sheet LO$4-2$

Green Valley Company prepared the following trial balance at the end of its first year of operations ending December $31.$ To simplify the case, the amounts given are in thousands of dollars.

UNADJUSTED

Account Titles Debit Credit

Cash $15$

Accounts receivable $12$

Prepaid insurance $7$

Machinery $74$

Accumulated depreciation

Accounts payable $8$

Wages payable

Income taxes payable

Common stock $(6,000$ shares$)6$

Additional paid$-$in capital $54$

Retained earnings $6$

Revenues $($not detailed$)68$

Expenses $($not detailed$)22$

Totals $136136$

Other data not yet recorded at December $31$ include

Insurance expired during the current year, $$4.$

Wages payable, $$6.$

Depreciation expense for the current year, $$8.$

Income tax expense, $$9.$

Required:

Using the adjusted balances, prepare an income statement for the current year.

Using the adjusted balances, prepare statement of stockholders$$ equity for the current year. The balance in retained earnings represents dividends that were declared and paid in the current year.

Using the adjusted balances, prepare balance sheet for the current year.