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To keep other people from seeing what you entered on your form please press the Clear This Form button at the end of the form when finished. WG-007/EJ-165 SHORT TITLE LEVYING OFFICER FILE NO. COURT CASE NO. FINANCIAL STATEMENT Wage Garnishment Enforcement of Judgment NOTE If you are married this form must be signed by your spouse unless you and your spouse are living separate and apart. If this form is not signed by your spouse check the applicable box on the reverse in item 9. 1. The...
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Well hello internet and welcome to my financial statements tutorial in which I will explain exactly how all the financial statements work that are used within a business and I'm going to use a real world example in this tutorial I'm going to fill in step-by-step the financial statements and explain what all the jargon means through the use of a fake caricature drawing business this tutorial came together because I received this request from Ian and she did not want me to give her last name first off I'm going to go over the balance sheet the balance sheet describes a business's financial situation at a moment in time the left side details the assets a business has and the right side details how those assets were acquired at all times both sides must remain equal you can see in the lower right hand corner a very simple way to start a business is with cash and an original investment by me the owner of course most businesses start off with a loan and your rich uncle decides to give you $100 and he expects 10% interest to be paid on that hundred dollar loan sometime within a year's time a long term loan that includes interest is known as a notes payable and you can see in the lower right hand corner here now I have an original investment plus the loan from my uncle also known as a notes payable and when you add those two things up you get my cash amount which is $200 now there are two different types of owners of a business there are people the business owes money to or liabilities say I changed the right side to the word liabilities and then there's the part of the business the owner owns this is known as owner's equity and you can see here original investment lies under owner's equity and everything else still equals out and also you're going to learn the most important equation in whenever it comes to balance sheets and that is that assets always will be equal to liabilities plus owner's equity inventory is what you sell when you buy inventory you decrease the value of cash you do not decrease anything else or change anything else so whenever you purchase $50 in inventory you're going to get for your caricature drawing business 50 sheets of paper which cost a total of $35 and then you're going to get $15 worth of markers and colored pencils and this image Tory is going to allow you to create exactly 50 caricatures in my sample business now let's say you go to a party later on that night and you draw 40 caricatures for $2 apiece that is $80 in total sales well that would mean that your unit cost is equal to the price of inventory to create one finished good so if you have $50 in inventory and that inventory creates 50 caricatures that means your unit cost is $1 now cost of goods sold is going to equal out to $40 and what that means just quite simply is you sold 40 caricatures as I detailed above at a unit cost of $1 each so it costs you $40 to create the goods that you then sold for 80 you would then subtract the cost of goods sold from your total...