The following is a list of accounts, in alphabetical order, forSandhill, Inc. at July...

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Accounting

The following is a list of accounts, in alphabetical order, forSandhill, Inc. at July 31, 2018:
Accountspayable $ 9,800 Income taxexpense $ 2,900
Accountsreceivable 14,000 Insuranceexpense 1,700
Accumulateddepreciation—equipment 20,800 Interestexpense 3,600
Bank loan payable,due 2020 39,100 Prepaidinsurance 200
Cash 5,900 Rent expense 9,100
Common shares 37,000 Repairs andmaintenance expense 10,400
Depreciationexpense 9,400 Retainedearnings 20,800
Dividendsdeclared 800 Salariesexpense 25,500
Equipment 98,600 Salariespayable 700
Held for tradinginvestments 22,000 Servicerevenue 75,900

Additional information:
All accounts have a normal balance. During the year, the companyissued common shares for $ 11,000.
Prepare a statement of changes in equity for the year.(If an amount reduces the account balance then enterwith negative sign or parentheses e.g.(45) or –45.)
SANDHILL INC.
Statement of Changes in Equity
Choose the accounting periodChoose the accountingperiod  July 31, 2018Year Ended July 31, 2018Month EndedJuly 31, 2018
Common
Shares Retained
Earnings Total
Equity
Select an openingstatement nameSelect an opening statementname  RevenuesTotal RevenuesExpensesTotal ExpensesIncomeBefore Income TaxNet Income/(Loss)Income From OperationsDividendsDeclaredBalance, August 1, 2017Balance, July 31, 2018Issued CommonShares $ Enter a dollar amount $ Enter a dollar amount $ Enter a total amount for thisrow
Select a statementitemSelect a statement item  RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common Shares Enter a dollar amount Enter a dollar amount Enter a total amount for thisrow
Select a statementitemSelect a statement item  RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common Shares Enter a dollar amount Enter a dollar amount Enter a total amount for thisrow
Select a statementitemSelect a statement item  RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common Shares Enter a dollar amount Enter a dollar amount Enter a total amount for thisrow
Select a closingstatement nameSelect a closing statementname  RevenuesTotal RevenuesExpensesTotal ExpensesIncomeBefore Income TaxNet Income/(Loss)Income From OperationsDividendsDeclaredBalance, August 1, 2017Balance, July 31, 2018Issued CommonShares $ Enter a total amount for thiscolumn $ Enter a total amount for thiscolumn $ Enter a total amount for thisrow

Accountspayable	$ 9,800	Income taxexpense	$ 2,900
Accountsreceivable	14,000	Insuranceexpense	1,700
Accumulateddepreciation—equipment	20,800	Interestexpense	3,600
Bank loan payable,due 2020	39,100	Prepaidinsurance	200
Cash	5,900	Rent expense	9,100
Common shares	37,000	Repairs andmaintenance expense	10,400
Depreciationexpense	9,400	Retainedearnings	20,800
Dividendsdeclared	800	Salariesexpense	25,500
Equipment	98,600	Salariespayable	700
Held for tradinginvestments	22,000	Servicerevenue	75,900

SANDHILL INC. Statement of Changes in Equity Choose the accounting periodChoose the accountingperiod July 31, 2018Year Ended July 31, 2018Month EndedJuly 31, 2018
	Common Shares	Retained Earnings	Total Equity
Select an openingstatement nameSelect an opening statementname RevenuesTotal RevenuesExpensesTotal ExpensesIncomeBefore Income TaxNet Income/(Loss)Income From OperationsDividendsDeclaredBalance, August 1, 2017Balance, July 31, 2018Issued CommonShares	$ Enter a dollar amount	$ Enter a dollar amount	$ Enter a total amount for thisrow
Select a statementitemSelect a statement item RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common Shares	Enter a dollar amount	Enter a dollar amount	Enter a total amount for thisrow
Select a statementitemSelect a statement item RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common Shares	Enter a dollar amount	Enter a dollar amount	Enter a total amount for thisrow
Select a statementitemSelect a statement item RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common Shares	Enter a dollar amount	Enter a dollar amount	Enter a total amount for thisrow
Select a closingstatement nameSelect a closing statementname RevenuesTotal RevenuesExpensesTotal ExpensesIncomeBefore Income TaxNet Income/(Loss)Income From OperationsDividendsDeclaredBalance, August 1, 2017Balance, July 31, 2018Issued CommonShares	$ Enter a total amount for thiscolumn	$ Enter a total amount for thiscolumn	$ Enter a total amount for thisrow

Answer & Explanation Solved by verified expert

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Statement of changes in Equity

SANDHILL INC.
Statement of Changes in Equity
Year Ended July 31, 2018
	Common	Retained	Total
	Shares	Earnings	Equity
Balance August 1, 2017	$ 26,000.00	$ 20,800.00	$ 46,800.00
Issued Common Shares	$ 11,000.00	$ -	$ 11,000.00
Net Income/(Loss)	$ -	$ 22,700.00 [calculated below]	$ 22,700.00
Dividends Declared	$ -	$ (800.00)	$ (800.00)
Balance, July 31, 2018	$ 37,000.00	$ 42,700.00	$ 79,700.00

Calculation of Net Income

Service revenue		$ 75,900.00
*Expenses:*
Income tax expense	$ 2,900.00
Insurance expense	$ 1,700.00
Interest expense	$ 3,600.00
Rent expense	$ 9,100.00
Repairs and maintenance expense	$ 10,400.00
Salaries expense	$ 25,500.00
Total Expenses		$ 53,200.00
Net Income		$ 22,700.00

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In: AccountingThe following is a list of accounts, in alphabetical order, forSandhill, Inc. at July 31,...The following is a list of accounts, in alphabetical order, forSandhill, Inc. at July 31, 2018:Accountspayable$ 9,800Income taxexpense$ 2,900Accountsreceivable14,000Insuranceexpense1,700Accumulateddepreciation—equipment20,800Interestexpense3,600Bank loan payable,due 202039,100Prepaidinsurance200Cash5,900Rent expense9,100Common shares37,000Repairs andmaintenance expense10,400Depreciationexpense9,400Retainedearnings20,800Dividendsdeclared800Salariesexpense25,500Equipment98,600Salariespayable700Held for tradinginvestments22,000Servicerevenue75,900Additional information:All accounts have a normal balance. During the year, the companyissued common shares for $ 11,000.Prepare a statement of changes in equity for the year.(If an amount reduces the account balance then enterwith negative sign or parentheses e.g.(45) or –45.)SANDHILL INC.Statement of Changes in EquityChoose the accounting periodChoose the accountingperiod July 31, 2018Year Ended July 31, 2018Month EndedJuly 31, 2018CommonSharesRetainedEarningsTotalEquitySelect an openingstatement nameSelect an opening statementname RevenuesTotal RevenuesExpensesTotal ExpensesIncomeBefore Income TaxNet Income/(Loss)Income From OperationsDividendsDeclaredBalance, August 1, 2017Balance, July 31, 2018Issued CommonShares$ Enter a dollar amount$ Enter a dollar amount$ Enter a total amount for thisrowSelect a statementitemSelect a statement item RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common SharesEnter a dollar amountEnter a dollar amountEnter a total amount for thisrowSelect a statementitemSelect a statement item RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common SharesEnter a dollar amountEnter a dollar amountEnter a total amount for thisrowSelect a statementitemSelect a statement item RevenuesTotalRevenuesExpensesTotal ExpensesIncome Before Income TaxNetIncome/(Loss)Income From OperationsDividends DeclaredBalance,August 1, 2017Balance, July 31, 2018Issued Common SharesEnter a dollar amountEnter a dollar amountEnter a total amount for thisrowSelect a closingstatement nameSelect a closing statementname RevenuesTotal RevenuesExpensesTotal ExpensesIncomeBefore Income TaxNet Income/(Loss)Income From OperationsDividendsDeclaredBalance, August 1, 2017Balance, July 31, 2018Issued CommonShares$ Enter a total amount for thiscolumn$ Enter a total amount for thiscolumn$ Enter a total amount for thisrow