Common Stock
22,100
In June, the company issued no additional stock but paid dividends of
$1,400.
Instructions
(a)
Prepare an income statement and retained earnings statement
for the month of June and a balance sheet
at June 30, 2014.
(b)
Briefly discuss whether the company's first month of operations
was a success.
(c )
Discuss the company's decision to distribute a dividend.
NOTE: Enter a number in cells requesting a value; enter either a
number or a formula in cells with a "?" .
Exercise 2-1
Classify each of the following financial statement items taken from
Mordica Corporation’s balance sheet.