The Following Transactions Apply to the Garber Corporation for Year

Essay

The following transactions apply to the Garber Corporation for Year 1, its first year in business.
1)Issued stock to investors, $48,000.
2)The company borrowed $42,000 cash from the bank.
3)Services were provided to customers and $50,000 cash was received.
4)The company acquired land for $44,000.
5)The company paid $34,000 rent for the building where it does its business.
6)The company paid $3,200 for supplies that were used during the period.
7)The company sold the land acquired in item 5 for $44,000.
8)A dividend of $1,000 was paid to the owners.
9)Repaid $20,000 of the loan described in item 2.
Required:
a)Prepare an income statement, statement of changes in equity, and balance sheet for Year 1.
b)Prepare a statement of cash flows for Year 1.