Question

In: Accounting

Milea Inc. experienced the following events in 2018, its first year of operations:

Milea Inc. experienced the following events in 2018, its first year of operations:

  1. Received $14,500 cash from the issue of common stock.
  2. Performed services on account for $45,000.
  3. Paid the utility expense of $1,200.
  4. Collected $30,150 of the accounts receivable.
  5. Recorded $7,100 of accrued salaries at the end of the year.
  6. Paid a $1,100 cash dividend to the stockholders.
  1. Prepare the income statement, statement of changes in stockholders’ equity, balance sheet, and statement of cash flows for the 2018 accounting period.
  • Req B1
  • Req B2
  • Req B3
  • Req B4

Prepare the income statement.

   
 
 
MILEA INC.
Income Statement
For the Year Ended December 31, 2018
     
Expenses    
     
     
     
Total expenses   0
    $0
  • Req B2
  • Req B3
  • Req B4

Prepare the statement of changes in stockholders’ equity.

   
 
 
MILEA INC.
Statement of Changes in Stockholders’ Equity
For the Year Ended December 31, 2018
Beginning common stock    
     
Ending common stock   $0
Beginning retained earnings    
     
     
Ending retained earnings   0
Total stockholders’ equity   $0

Prepare the balance sheet.

   
 
 
MILEA INC.
Balance Sheet
As of December 31, 2018
Assets    
     
     
     
Total assets   $0
Liabilities    
     
     
Total liabilities   $0
Stockholders’ Equity    
     
     
     
Total stockholders' equity   0
Total liabilities and stockholders' equity   $0

Prepare the statement of cash flows for the 2018 accounting period. (Amounts to be deducted should be indicated with a minus sign.)

   
 
 
MILEA INC.
Statement of Cash Flows
For the Year Ended December 31, 2018
Cash flow from operating activities    
     
     
     
Net cash flow from operating activities   $0
Cash flow from investing activities    
Cash flow from financing activities    
     
     
     
Net cash flow from financing activities   0
Net change in cash   0
     
Ending cash balance   $0

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Expert Solution

ekkarill92 answered 2 years ago
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