Exercise 1-14B Missing information for determining net income The December 31, Year 1, balance sheet for James Company showed total stockholders' equity of $200,000. Total stockholders' equity increased by $80,000 between December 31, Year 1, and December 31, Year 2. During Year 2, James Company acquired $30,000 cash from the issue of com- mon stock. James Company paid a $2,000 cash dividend to the stockholders during Year 2. Required Determine the amount of net income or loss James Company reported on its Year 2 income statement. (Hint: Remember that stock issues, net income, and dividends all change total stockholders' equity.) EXERCISE 1-14B From the Statement of Changes in Stockholders' Equity we know From the Stat. of Changes in Stk. Equity Beginning Tot. Stk. Equity 1/1/Yr2 Plus: Common Stock Issued Plus: Net Income Less: Change in Stockholders' Equity Ending Total Stk. Equity, 12/31/Year 2 ? SA $