AE1-9

Here are incomplete financial statements for Garrett, Inc. Calculate the missing amounts.

GARRETT, INC.

Balance Sheet
Assets Liabilities and Stockholders' Equity
Cash $10,546 Liabilities
Inventory 15,546 Accounts payable $5,000
Building

39,454
Stockholders' equity
Total assets

$65,546
Common stock (a)
Retained earnings

(b)
Total liabilities and
stockholders' equity

$65,546

Income Statement
Revenues $88,386
Cost of goods sold (c)
Administrative expenses

10,000
Net income

(d)$

Retained Earnings Statement
Beginning retained earnings $15,546
Net income (e)
Dividends

5,000
Ending retained earnings

$41,386