Turner Company Started Its Business by Issuing $10,000 of Common

question 112

Essay

Turner Company started its business by issuing $10,000 of common stock on January 1, Year 1. The company performed $38,000 of service for customers on account in Year 1. It collected $32,500 of this amount in Year 1, recorded expenses on account of $29,500, paid $21,000 of the payables owed, and paid a $500 dividend to the stockholders.Required:What is the amount of total assets at the end of Year 1?What is the amount of cash on hand at the end of Year 1?What is the net income for Year 1?Prepare a balance sheet for Year 1.