Question

Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to Blooming Flower Company was started in 2018 when it acquired $61,400 cash from the issue of common stock. The following data summarize the company's first three years' operating activities. Assume that all transactions were cash transactions. 2018 $23,900 27,700 11,600 5,420 2019 $10,000 31,200 17,200 8,120 2020 Purchases of inventory $20,000 36,800 18,100 9,700 Sales Cost of goods sold Selling and administrative expenses Required Prepare an income statement (use multistep format) and balance sheet for each fiscal year. (Hint: Record the transaction data for each accounting period in the accounting equation before preparing the statements for that year) Answer is not complete. Complete this question by entering your answers in the tabs below. Balance Income Sheets Statements Prepare an income statement for each fiscal year. (Hint: Record the transaction data for each accounting period in the accounting equation before preparing the statements for that year.) BLOOMING FLOWER COMPANY Income Statements For the Year Ended December 31 2020 2018 2019 $ $ 27,000 Retained earings 20,000 31,200 י 1ד 1 000 10 400

Answer 1

		INCOME STATEMENT
			Year2018	Yr 2019	Yr2020
	A	Sales	$27,700	$31,200	$36,800
	B	Cost of Goods sold	$11,600	$17,200	$18,100
	C=A-B	Gross Profit	$16,100	$14,000	$18,700
	D	Selling and Admin. Expenses	$5,420	$8,120	$9,700
	E=C-D	Net Income	$10,680	$5,880	$9,000
		BALANCE SHEET
			Year2018	Yr 2019	Yr2020
		Assets:
	F	Cash	$59,780	$72,860	$79,960
	G	Inventory	$12,300	$22,300	$42,300
	H=F+G	Total Assets	$72,080	$95,160	$122,260
		Stockholders EquityL
	J	Common Stock	$61,400	$61,400	$61,400
	K	Retained Earnings	$10,680	$33,760	$60,860
	L=J+K	TotalStockholders Equity	$72,080	$95,160	$122,260
						Common stock $61,400 Inventory = Retained Earnings + Sales Expenses Income $23,900 $27,700 ($11,600) $27,700 ($11,600) ($5,420) $10,680 $11,600 $5,420 $17,020 $27,700 ($11,600) ($5,420) $10,680 $61,400 $27,700 $12,300 $10,000 Cash 2018 $61,400 2018 ($23,900) 2018 $27,700 2018 2018 ($5,420) 2018 Balance $59,780 2019 ($10,000) 2019 $31,200 2019 2019 ($8,120) L019 Balance $72,860 2020 ($20,000) 2020 $36,800 2020 2020 ($9,700) L020 Balance $79,960 $31,200 ($17,200) $31,200 ($17,200) ($8,120) $33,760 $17,200 $8,120 $25,320 $31,200 ($17,200) ($8,120) $5,880 $61,400 $31,200 $0 $0 $22,300 $20,000 $36,800 ($18,100) $36,800 ($18,100) ($9,700) $60,860 $18,100 $9,700 $27,800 $36,800 ($18,100) ($9,700) $9,000 $42,300 $61,400 $36,800