Reterences Ch 7 Ex and Prob Help Save & Exit Submit 10 6 Problem 7-21A Multistep income statement and balance sheet LO 7-1, 7-5 Use the following information to prepare a multi (Hint Some of the items will not appear on either statement -step income statement and a balance sheet for Sherman Equipment Co. for Year 2. points e Sheet only: Items to be deducted must be indicated with a minus sign.) s 89,000 operating Expenses 100,000 Cash Flow from Investing Activities 44,000 Prepaid Rent 82,000 98,400 14,500 60,000 50,100 100,300 56,000 32, 000 168,000 76,000 Common Stock Allowance for Doubtful Accounts Uncollectible Accounts Expense Supplies 9,800 Land 10,100 Cash 3,200 Inventory 7,400 ccounts Payable Sales Revenue Dividenda 400,000 Salaries Payable 5,500 Cost of Foods Sold 3,500 Accounts Receivable Receivable (short term) 91,000 SHERMAN EQUIPMENT Co. Income Statement For the Year Interest Receivable (short term) Beginning Retained Earnings 3,500 Accounts Rec 91,000 SHERMAN EQUIPMENT CO Income Statement For the Year Ending December 31, Year 2 Operating Expenses 0 0 Non-Operating Items 0 SHERMAN EQUIPMENT CO Balance Sheet As of December 31, Year 2 SHERMAN EQUIPMENT CO Balance Sheet As of December 31, Year 2 Assets Total assets 0 Liabilities and Stockholders' Equity Current Liabilities Total Liabilities 0 Stockholders' Equity Total Stockholders' Equity 0 Total Liabilities and Stockholders Equity 0 KPrev 6 of 6E