Statement of Changes in Stockholders Equity only Bensen Company started business by acquiring $27,500 cash from the issue of common stock on January 1, Year 1.The cash acquired was immediately used to purchase equipment for $27,500 that had a $3,500 salvage value andan expected useful life of four years. The equipment was used to produce the following revenue stream (assume thatall revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $4,090 cash.Bensen uses straight-line depreciation.RevenueYear 1$7,750IncomeStatementYear 2$8,250RequiredPrepare income statements, statements of changes in stockholders' equity, balance sheets, and statements of cashflows for each of the five years. Present the statements in the form of a vertical statements model.Stmt ofChanges in Balance SheetStkholders EqNet income/(loss)Year 3$8,450Complete this question by entering your answers in the tabs below.Total stockholders' equityYear 4$7,250Statement ofCash FlowsYear 5$0Prepare the statements of changes in stockholders' equity for each of the five years. Present the statements in the form of avertical statements model.BENSEN COMPANYStatement of Changes in Stockholders' EquityFor the Year Ended December 31Year 1Year 2Income StatementYear 3Year 4Balance SheetYear 5

STATEMENT OF SHAREHOLDERS EQUITY Statement of Shareholders Equity is also Known as Changes in…

Income Statement Stmt of Changes in Balance Sheet Statement of Cash Flows Stkholders Eq Prepare the statements of changes in stockholders' equity for each of the five years. Present the statements in the form of a vertical statements model. Net income/(loss) Total stockholders' equity BENSEN COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31 Year 1 Year 2 Income Statement Year 3 Year 4 Balance Sheet > Year 5

Income Statement Stmt of Changes in Balance Sheet Statement of Cash Flows Stkholders Eq Prepare the statements of changes in stockholders' equity for each of the five years. Present the statements in the form of a vertical statements model. Net income/(loss) Total stockholders' equity BENSEN COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31 Year 1 Year 2 Income Statement Year 3 Year 4 Balance Sheet > Year 5

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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