26 Feb The following accounting equation worksheet shows
The following accounting equation worksheet shows the transactions for Internet Advertising, a corporation, for the first month of business October 2009. Requirements 1. Analyze each transaction in the accounting equation worksheet and describe the underlying exchange that resulted in each entry. 2. Has the company been profitable this month? Explain. 3. Prepare an income statement for the month ended October 31, 2009. 4. Prepare a statement of shareholders’ equity for the month ended October 31, 2009. 5. Prepare a statement of cash flows for the month ended October 31, 2009. 6. Prepare a balance sheet at October 31, 2009. 7. Calculate the current ratio at October 31,2009.
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