Question

Astro Corporation was started with the issue of 5,100 shares of $10 par stock for cash on January 1, 2018. The stock was issued at a market price of $19 per share. During 2018, the company earned $58,400 in cash revenues and paid $39,128 for cash expenses. Also, a $3,900 cash dividend was paid to the stockholders. Required: Prepare an income statement, statement of changes in stockholders’ equity, balance sheet, and statement of cash flows for Astro Corporation’s 2018 fiscal year.

Income Statement Smt chgs in Shlds Egy Balance Sheet Smt of Cash Fls Prepare the income statement. ASTRO CORPORATION Income Statement For the Year Ended December 31, 2018 Income Statement Smt chgs in Shlds Egy >

Answer 1

Income Statement
Income
Revenue	58,400
Expense
Operating expense	39,128
Net Profit	19,272
Balance Sheet
Assets
Cash	1,12,272
Liabilities
Stockholder’s Equity	1,12,272
Statement of change in equity
Beginning common stock	0
Share issued
Share capital	51000
share premium	45900
End common stock	96900
Beginning retained earning	0
Net Income	19,272
-Dividend paid	-3900
End retained earning	15372
Shareholder fund	112272
Cash Flow statement
Operating Activities
Revenue from customers	58,400
Operating Expense paid	-39128	19272
Financing Activities
Issue of share	96900
Dividend paid	-3900	93000
Cash at the end		1,12,272