Is the company financed mainly by creditors or stockholders


Refer PB1-1.

Accounts Payable... $ 33,130

Accounts Receivable... 9,500

Cash... 13,900

Common Stock... 10,000

Dividends... 1,100

Equipment... 86,000

Notes Payable... 51,220

Operating Expenses... 60,000

Other Expenses... 8,850

Sales Revenue...94,000

Supplies... 9,000

Required:

1. Is the company financed mainly by creditors or stockholders? Which financial statement indicates this?

2. Was the company profitable? Which financial statement indicates this?

3. By how much did cash increase (decrease)? Which financial statement would report the reasons for this change in cash?

4. Did the company's dividends exceed its net income? Which financial statement indicates this?

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Financial Accounting: Is the company financed mainly by creditors or stockholders
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