Financial & Managerial Accounting
13th Edition
ISBN: 9781285866307
Author: Carl Warren, James M. Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Chapter 1, Problem 1.21EX
a)
To determine
Income statement: The financial statement which reports revenues and expenses from business operations and the result of those operations as net income or net loss for a particular time period is referred to as income statement.
Balance sheet: This financial statement reports a company’s resources (assets) and claims of creditors (liabilities) and stockholders (
To Prepare: The balance sheet of Company EI for the February and March.
b)
To determine
The amount of net income for the month of March, assuming that the owner made no additional investments or dividends during the month.
c)
To determine
The amount of net income for the month of March, assuming that the owner made no additional investments but withdrew $50,000 during the month.
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The following information is taken Aiello Corporation's fiscal 2016 annual report.
Selected Balance Sheet Data 2016 2015 Inventories........................ $221,418 $226,893 Accounts Receivable........... $121,333 $122,087
Assume that Aiello Corporation had $1,003,881 sales on credit during fiscal year 2016. What amount did the company collect from credit customers during the year?
a. $1,003,881 b. $1,004,635 c. $1,003,127 d. $1,247,301
Selected information from the comparative financial statements of AppleVerse Company for the year ended December 31
appears below:
2018
2017
Php
Php
Accounts receivable (net)
175,000
200,000
Inventory
130,000
150,000
Total assets
1,100,000 800,000
Current liabilities
140,000
110,000
Long-term debt
410,000
300,000
Net credit sales
800,000
700,000
Cost of goods sold
600,000
530.000
Interest expense
40.000
25,000
Income tax expense
60.000
29,000
Net income
150.000
85,000
Net cash provided by operating
220,000
135,000
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Compute for the Receivables Turnover for 2018.
O 2.13
O 4.27
O 5.95
O 3.23
Use the following selected financial information for Cascabel Corporation to answer
questions
Cascabel Corporation
Balance Sheet
December 31, 2015
Assets
Liabilities and stockholders' equity
Current assets
Current liabilities
Cash
Accounts payable
Accrued liabilities
2
36
Short-term investments
10
25
Accounts receivable
52
Total current liabilities
61
Inventory
57
Other current assets
Long-term debt
102
Total current assets
129
Total liabilities
163
Long-term assets
Stockholders' equity
Net Plant
195
Common stock
110
Retained earnings
Total stockholders' equity
Total liabilities and equity
51
161
324
Total assets
324
Cascabel Corporation
Income Statement
For the Year Ended December 31, 2015
Chapter 1 Solutions
Financial & Managerial Accounting
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