[The following information applies to the questions displayed below.] The following accounts and corresponding balances were drawn from Delsey Company's Year 2 and Year 1 year-end balance sheets: Account Title Investment securities Machinery Land Year 2 $ 102,100 527,300 143,500 Other information drawn from the accounting records: 1. Delsey incurred a $1,300 loss on the sale of investment securities during Year 2. 2. Old machinery with a book value of $4,070 (cost of $25,390 minus accumulated depreciation of $21,320) was sold. The income statement showed a gain on the sale of machinery of $4,220. 3. Delsey did not sell land during the year. Exercise 12-10A (Algo) Part e e. Prepare the investing activities section of the statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. DELSEY COMPANY Statement of Cash Flows (Investing Activities) For the Year Ended December 31, Year 2 Cash flows from investing activities: Year 1 $ 112,700 427,100 98,000 Net cash outflow from investing activities

[The following information applies to the questions displayed below.] The following accounts and corresponding balances were drawn from Delsey Company's Year 2 and Year 1 year-end balance sheets: Account Title Investment securities Machinery Land Year 2 $ 102,100 527,300 143,500 Other information drawn from the accounting records: 1. Delsey incurred a $1,300 loss on the sale of investment securities during Year 2. 2. Old machinery with a book value of $4,070 (cost of $25,390 minus accumulated depreciation of $21,320) was sold. The income statement showed a gain on the sale of machinery of $4,220. 3. Delsey did not sell land during the year. Exercise 12-10A (Algo) Part e e. Prepare the investing activities section of the statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. DELSEY COMPANY Statement of Cash Flows (Investing Activities) For the Year Ended December 31, Year 2 Cash flows from investing activities: Year 1 $ 112,700 427,100 98,000 Net cash outflow from investing activities

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter8: Liabilities And Stockholders' Equity

Section: Chapter Questions

Problem 8.1.2MBA

See similar textbooks

Similar questions

E5-4 (Preparation of a Classified Balance Sheet) Assume that Gulistan Inc. has the following accounts at the end of the current year. 1. Common Stock. 2. Discount on Bonds Payable. 3. Treasury Stock (at cost). 4. Notes Payable (short-term). 5. Raw Materials. 6. Preferred Stock Investments (long-term). 7. Unearned Rent Revenue. 8. Work in Process. 9. Copyrights. 10. Buildings. 11. Notes Receivable (short-term). 14. Accumulated Depreciation-Buildings. 15. Cash Restricted for Plant Expansion. 16. Land Held for Future Plant Site. 17. Allowance for Doubtful Accounts-Accounts Receivable. 18. Retained Earnings. 19. Paid-in Capital in Excess of Par-Common Stock. 20. Unearned Subscriptions Revenue. 21. Receivables-Officers (due in one year). 22. Finished Goods. 12. Cash. 23. Accounts Receivable. 13. Salaries and Wages Payable. 24. Bonds Payable (due in 4 years). Instructions Prepare a classified balance sheet in good form. (No monetary amounts are necessary.)
Indicate where each of the following items 1 through 5 is reported on financial statements. 1. Unrealized gain on available-for-sale securities 2. Held-to-maturity securities (due in 15 years) 3. Loss on sale of debt indestments 4. Fair Value Adjustment-Stock (Short term) 5. Unrealized gain on trading securities Equity
Gard Company completes the following transactions related to its short-term debt investments. May 8 Purchased FedEx notes as a short-term investment in available-for-sale securities for $12,975. Sep. 2 Sold part of its investment in FedEx notes for $4,475, which had cost $4,325. Oct. 2 Purchased Ajay bonds for $25,600 as a short-term investment in available-for-sale securities.
The trial balance of Kroeger Incorporated included the following accounts as of December 31, 2024: Sales revenue Interest revenue Gain on sale of investments Gain on debt securities Cost of goods sold Loss on projected benefit obligation Selling expense Goodwill impairment loss Interest expense General and administrative expense Debits Credits $ 8,350,000 55,000 115,000 137,500 $ 155,000 6,155,000 750,000 525,000 25,000 450,000 The gain on debt securities represents the increase in the fair value of debt securities and is classified a component of other comprehensive income. Kroeger had 300,000 shares of stock outstanding throughout the year. Income tax expense has not yet been recorded. The effective tax rate is 25%. Required: Prepare a 2024 separate statement of comprehensive income for Kroeger Incorporated. Note: Amounts to be deducted should be indicated with a minus sign. KROEGER INCORPORATED Statement of Comprehensive Income For the Year Ended December 31, 2024 Net income Other…
The summarized trial balance of XYZ Corporation includes the following accounts on December 31,2022: Debit Credit Cash P 239,738 9,800 31,386 Accounts receivable Dividend receivable Interest receivable Investments at FVPL 956 136,910 Investments at FVOCI 3,760,944 1,310 Deferred tax asset Accounts payable P 20,506 Interest payable 560 Other payables 166 Income tax payable 484 Provision for employee benefits 1,504 Deferred tax liability 112,828 Share capital 2,736,048 Share premium 752,180 Retained Earnings 556,768 P4,181,044 P4,181,044 The provision for employee benefits includes P1,050 payable in the subsequent year. Required: 1. Prepare Statement of Financial Position
Prepare adjusting entry using fair value. BEH.4 (LO 3), AP Cost and fair value data for the trading debt securities of Lecler Company at December 31, 2022, are $62,000 and $59,600, respectively. Prepare the adjusting entry to record the securities at fair value. Indicate statement presentation using fair value.
The following data were taken from the balance sheet accounts of Wildhorse Corporation on December 31, 2024. Current assets Debt investments (trading) Common stock (par value $10) Paid-in capital in excess of par Retained earnings a. b. C. $513,000 605,000 Prepare the required journal entries for the following unrelated items. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record entries in the order displayed in the problem statement.) 501,000 Date 144,000 910,000 A 6% stock dividend is (1) declared and (2) distributed at a time when the market price per share is $40. The par value of the common stock is reduced to $2 with a 5-for-1 stock split. A dividend is declared January 5, 2025, and paid January 25, 2025, in bonds held as an investment. The bonds have a book value of $104,000 and a fair…
es C11-1 (Algo) Financial Reporting of Depreciation, Write-off, Bond Issuance and Common Stock Issuance, Purchase, Reissuance, and Cash Dividends [Chapters 4, 8, 9, 10, and 11) [LO 4-2, 4-5, 8-2, 9-3, 10-3, 11-2, 11-3] Bender Industries, reported the following account balances on January 1. Credit Accounts Receivable Accumulated Depreciation Additional Paid-in Capital Allowance for Doubtful Accounts Bonds Payable Buildings Cash Common Stock, 10,000 shares of $1 par Notes Payable (long-term) Retained Earnings Treasury Stock TOTALS Debit $ 5,000 249,000 10,500 0 $ 264,500 30,000 92,000 2,000 0 10,000 10,500 120,000 The company entered into the following transactions during the year. January 15 Issued 6,000 shares of $1 par common stock for $52,000 cash. January 31 Collected $3,000 from customers on account. February 15 Reacquired 3,020 shares of $1 par common stock into treasury for $33,220 $ 264,500 cash. March 15 Reissued 2,020 shares of treasury stock for $24,220 cash. August 15…
r. Pinkberry Co. reported total earnings of $240,000. Equinox Products recorded its share of Pinkberry Co. net income using the equity method. Description Debit Credit s. The Solstice Corp. bonds have a fair value of $253,630 on December 31, 2OY5. Valuation Allowance for Available-for-Sale Investments had a balance of zero on January 1, 20Y5. Description Debit Credit Feedback
The following data were taken from the Statement of Affairs of Honesty Company: Shareholders' equity Bonds Payable without security Salaries Payable Loss on realization of assets Accounts payable without security Taxes Estimated Liquidation expenses Determine the estimated amount payable to the holder of the bonds. P441,000 735,000 50,000 551,250 367,500 72,500 55,125
The trial balance of Kroeger Incorporated included the following accounts as of December 31, 2024: Sales revenue Interest revenue. Gain on sale of investments Gain on debt securities Loss on projected benefit obligation Cost of goods sold Selling expense Goodwill impairment loss. Interest expense General and administrative expense Debits $ 165,000 6,050,000 650,000 475,000 35,000 550,000 Credits $ 8,250,000 65,000 125,000 142,500 The gain on debt securities represents the increase in the fair value of debt securities and is classified a component of other comprehensive income. Kroeger had 300,000 shares of stock outstanding throughout the year. Income tax expense has not yet been recorded. The effective tax rate is 25%. Required: Prepare a 2024 single, continuous statement of comprehensive income for Kroeger Incorporated. Use a multiple-step income statement format.
Waterton Corporation reported that short-term investments in debt securities consisted of the following (in millions): Amortized Cost Fair Value December 31 Short-term investments available - for - sale debt securities $1,373.6 $1,373.8 Short-term investments-trading debt securities 161.8 132.0 Total short-term investments $1,535.4 $1,505.8 Which of the following is true? Select one: a. Unrealized losses of $29.8 million on trading securities are included in annual income. b. Waterton's year-end balance sheet includes short-term investments of $1,535.4 million. c. There are no net unrealized gains on available-for-sale securities. d. Accumulated other comprehensive income included no unrealized gains or losses. e. None of these are correct