A sole proprietorship was formed on January 1, Year 1, when it received $90,000 cash from Kaitlyn Conrad, the owner. During Year 1, the business earned $138,000 in cash revenues and paid $102,400 in cash expenses. Conrad withdrew $16,000 in cash during the year.Required:
Prepare an income statement, capital statement, and balance sheet.

Question

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The Answer of A sole proprietorship was formed on January 1, Year 1, when it received $90,000 cash from Kaitlyn Conrad, the owner. During Year 1, the business earned $138,000 in cash revenues and paid $102,400 in cash expenses. Conrad withdrew $16,000 in cash during the year.Required:
Prepare an income statement, capital statement, and balance sheet.

A Sole Proprietorship Was Formed on January 1, Year 1