Question 1: Condensed financial data of Minnie Hooper Company are shown below: MINNIE HOOPER COMPANY Income Statement For the year ended December 31, 2017 Net Sales Revenue $ 713,000 Cost of Goods Sold 342,000 Gross Profit 371,000 Operating Expenses: Depreciation Expense Other Operating Expenses Total Operating Expenses $ 54,000 210,000 264,000 Net Income $ 107,000 MINNIE HOOPER COMPANY Comparative Balance Sheet December 31 2017 2016 Assets Current Assets: Cash $ 17,000 $ 16,000 Accounts Receivable 57,000 46,000 Merchandise Inventory 79,000 90, 000 Long-term Assets: Plants Assets 260, 500 216, 400 Accumulated Depreciation - Plants Assets (38,500) (32,400) Investments 96,000 73,000 Total Assets $ 471,000 $ 409,000 Liabilities Current Liabilities Accounts Payable $ 72,000 $ 71,000 Salaries Payable 3,000 5,000 Long-term Liabilities: Notes Payable 61,000 69,000 Total Liabilities 136,000 145,000 Stockholders' Equity Common Stock, no par 45,000 34,000 Retained Earnings 290,000 230,000 Total Stockholders' Equity 335,000 264,000 Total Liabilities and Stockholders' Equity $ 471,000 $ 409,000 Additional Information: The acquisition of plant assets was for cash. Minnie Hopper disposed of plant assets at

Question 1: Condensed financial data of Minnie Hooper Company are shown below: MINNIE HOOPER COMPANY Income Statement For the year ended December 31, 2017 Net Sales Revenue $ 713,000 Cost of Goods Sold 342,000 Gross Profit 371,000 Operating Expenses: Depreciation Expense Other Operating Expenses Total Operating Expenses $ 54,000 210,000 264,000 Net Income $ 107,000 MINNIE HOOPER COMPANY Comparative Balance Sheet December 31 2017 2016 Assets Current Assets: Cash $ 17,000 $ 16,000 Accounts Receivable 57,000 46,000 Merchandise Inventory 79,000 90, 000 Long-term Assets: Plants Assets 260, 500 216, 400 Accumulated Depreciation - Plants Assets (38,500) (32,400) Investments 96,000 73,000 Total Assets $ 471,000 $ 409,000 Liabilities Current Liabilities Accounts Payable $ 72,000 $ 71,000 Salaries Payable 3,000 5,000 Long-term Liabilities: Notes Payable 61,000 69,000 Total Liabilities 136,000 145,000 Stockholders' Equity Common Stock, no par 45,000 34,000 Retained Earnings 290,000 230,000 Total Stockholders' Equity 335,000 264,000 Total Liabilities and Stockholders' Equity $ 471,000 $ 409,000 Additional Information: The acquisition of plant assets was for cash. Minnie Hopper disposed of plant assets at

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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