Question

The unadjusted trial balance for JKF Inc is provided below.

1. Use along with the notes provided below to prepare a multi-step income statement, a statement of stockholders equity and a classified balance sheet. Prepare journal entries to show the accounting treatment for each of the adjustments below.

Use the comparative balance sheet and the additional information provided to prepare a cash flow statement for Yannik Inc for the year ended 12/31/2017. 2017 2016 Cash       600,000       400,000 Accounts receivable (net)       400,000       450,000 Inventory       600,000       500,000 Equipment 1,000,000       600,000 Accumulated depreciation     (300,000)     (250,000) TOTAL 2,300,000 1,700,000 Accounts payable       500,000       300,000 Notes payable - Long-term       500,000       400,000 Common stock       800,000       700,000 Retained earnings       500,000       300,000 TOTAL 2,300,000 1,700,000 Notes Net income was $300,000. Net income include a gain on sale of equipment equal to $20,000. The equipment had a book value of $80,000 at the time of sale. Depreciation for the year was $50,000 Dividends of 100,000 have been declared and paid. Increases or decreases in Equipment, Common Stock or Notes Payable refers to relevant        purchases, issuances sales or retirements.

Answer 1

Q 1 was incomplete

Yannik Inc
Statement of Cash flow statement
For the Year Ended December 31, 2017
Cash flows from operating activities:
Net income	$       300,000
Adjustments for noncash effects:
Depreciation	$         50,000
Gain on sale	$        (20,000)
Decrease in Accounts receivable (net)	$         50,000
Increase in Inventory	$      (100,000)
Increase in Iaccounts Payable	$       200,000
Net cash flows from operating activities		$         480,000
Cash flows from investing activities:
Sale of equipment (80000+20000)	$       100,000
Purchase of equipment	$      (480,000)
Net cash flows from investing activities		$        (380,000)
Cash flows from financing activities:
Issued Notes payable	$       100,000
Payment of cash dividends	$      (100,000)
Issued common stock	$       100,000
Net cash flows from financing activities		$         100,000
Net increase in cash		$         200,000
Cash balance, January 1		$         400,000
Cash balance, December 31		$         600,000