Problem $3-8$ Financial Statements $($LO$1)$ Cash

Taxable income

Federal plus other taxes

Depreciation

Net income

Prepare the balance sheet and income statement by rearranging the above items.

Note: Be sure to list the assets and liabilities in order of their liquidity. Enter all amounts as positive values.

Henry Josstick has just started his first accounting course and has prepared the following balance sheet and income statement for

Omega Corporation. Unfortunately, although the data for the individual items are correct, he is very confused as to whether an item

should go in the balance sheet or income statement and whether it is an asset or liability.

Prepare the balance sheet and income statement by rearranging the above items.