A completed worksheet contains sufficient information to prepare an income statement and a balance sheet.

Question

Quizplus · Accepted Answer

The income statement can be prepared from the data in the income statement columns. Two pieces of information for the statement of stockholders' equity are available in the worksheet-the net income (or net loss) and dividends. The assets and liabilities needed for the balance sheet are available in the balance sheet columns (the ending Retained Earnings balance for the balance sheet is obtained from the statement of stockholders' equity).

A Completed Worksheet Contains Sufficient Information to Prepare an Income