Report your capital assets on Schedule D (540). It tracks the company's revenue, expenses, gains, and losses during a set period.The company's stock is selling at 10 times its earnings. Working Capital = Current Assets – Current Liabilities. Net income: List the net income from the income statement. This income increases the owner's equity. Use Form 1120-S to report the income, gains, losses, deductions, credits, etc. This gain or loss should be recognized in shareholders' equity, not net income. Capital stock is the amount of common and preferred shares that a company is authorized to issue, according to its corporate charter. What parts of the financial statement do you need to fill out?