Financial Accounting (12th Edition) (What's New in Accounting)
12th Edition
ISBN: 9780134725987
Author: C. William Thomas, Wendy M. Tietz, Walter T. Harrison Jr.
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Concept explainers
Textbook Question
Chapter 1, Problem 1.68BP
Group B
LO 3, 4
(Learning Objectives 3, 4: Apply the
Babble Co. | Floralties, Inc. | Drake Co. | |
Beginning | |||
Assets ........................ | $ 79 | $ 35 | $ ? |
Liabilities ................... | 51 | 15 | 5 |
Common stock .......... | 1 | 5 | 2 |
Retained earnings ...... | ? | 15 | 6 |
Ending | |||
Assets ........................ | $ ? | $ 53 | $ 15 |
Liabilities................. | 52 | 27 | ? |
Common stock........... | 1 | ? | ? |
Retained earnings...... | 35 | ? | ? |
Statement of retained earnings | |||
Beginning RE.......... | $ 27 | $ 15 | $ 6 |
+ Net income........... | ? | 10 | 4 |
− Dividends declared.. | (1) | (11) | (4) |
Ending RE............... | $ 35 | $ 14 | $ 6 |
At the end of the year, which company had the
- highest net income?
- highest percent of net income to revenues?
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
education.wiley.com
Ch 1: Ho...
WP NWP AS...
Π‘ Maria Q..
b Search..
The Acc...
Cengag...
financia...
WileyPL...
financia...
BB Financi..
Accoun...
X - Cha...
e Ch 1: Homework
Question 4 of 5
- / 20
View Policies
Current Attempt in Progress
Van Occupanther is the bookkeeper for Roscoe Company. Van has been trying to get the balance sheet of Roscoe Company to balance.
Roscoe's balance sheet is as follows.
ROSCOE COMPANY
Balance Sheet
December 31, 2022
Assets
Liabilities
Cash
$ 9,400
Accounts payable
$25,000
Supplies
7,100
Accounts receivable
(19,500)
Equipment
45,000
Common stock
40,000
Dividends
9,200
Retained earnings
25,200
Total assets
$70,700
Total liabilities and stockholders' equity
$70,700
Prepare a correct balance sheet. (List Assets in order of liquidity.)
ROSCOE COMPANY
Balance Sheet
η°
II
I need prepare the income statement in accordance with genrally accepted accounting principles.Β
Β
Revenue:
services provides to cotumers.......$17,000
investment by stockholders..............5,000
loan from bank.....................................15,000Β Β Β Β Β Β
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β totalΒ Β Β Β $37,000
expenses:
Payments to long-term creditors...........................$11,700
expenses required to provide
services to cutomers....................................................7,800
purchased of land......................................................16,000Β Β Β Β Β Β
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β totalΒ Β 35,500
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β net incomeΒ Β Β Β $1,500
Q2: Comparative financial statement data for Cargill company follow:Β
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β December 31Β
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β ---------------------Β
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β 20x7 20x6Β
Β Β Β Β Β Β Β Β Cash β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦ $ 3 $ 6Β Β
Β Β Β Β Β Β Β Β Account receivable, netβ¦β¦β¦β¦β¦. 22 24Β
Β Β Β Β Β Β Β Β Inventoryβ¦β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦ 50 40Β
Β Β Β Β Β Β Β Β Plant and equipment β¦β¦β¦β¦β¦β¦ 240 200Β
Β Β Β Β Β Β Β Β Accumulated depreciation β¦β¦β¦.. (65) (50)Β
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β --------- ---------Β
Β Β Β Β Β Β Β Β Total assets 250 220Β
Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β ===== =====Β
Β Β Β Β Β Β Β Β Accounts payable β¦β¦β¦β¦β¦β¦β¦.. $ 40 $ 36Β
Β Β Β Β Β Β Β Β Common stock β¦β¦β¦β¦β¦β¦β¦... 150 145Β
Β Β Β Β Β Β Β Β Retained earnings β¦β¦β¦β¦β¦β¦β¦. 60β¦
Chapter 1 Solutions
Financial Accounting (12th Edition) (What's New in Accounting)
Ch. 1 - Financial statements can be used by which of the...Ch. 1 - Prob. 2QCCh. 1 - Hoot Enterprises buys a warehouse for 590,000 to...Ch. 1 - Prob. 4QCCh. 1 - Prob. 5QCCh. 1 - The accounting equation can be expressed as a....Ch. 1 - Prob. 7QCCh. 1 - Alliance Corporation holds cash of 8,000 and owes...Ch. 1 - During the year, ChemClean Corporation has 280,000...Ch. 1 - Prob. 10QC
Ch. 1 - Dynasty Company has current assets of 50,000 and...Ch. 1 - Which financial statement would show how well a...Ch. 1 - On which financial statement would the ending...Ch. 1 - What item flows from the income statement to the...Ch. 1 - What item flows from the income statement to the...Ch. 1 - Prob. 16QCCh. 1 - LO 5 (Learning Objective 5: Identify ethical...Ch. 1 - Prob. 1.1SCh. 1 - Prob. 1.2SCh. 1 - Prob. 1.3SCh. 1 - LO 3 (Learning Objective 3: Apply the accounting...Ch. 1 - LO 3 (Learning Objective 3: Apply the accounting...Ch. 1 - LO 3 (Learning Objective 3: Identify assets,...Ch. 1 - LO 3 (Learning Objective 3: Accounting equation)...Ch. 1 - LO 4 (Learning Objective 4: Identify income...Ch. 1 - LO 4 (Learning Objective 4: Identify appropriate...Ch. 1 - LO 4 (Learning Objective 4: Explain aspects of...Ch. 1 - Prob. 1.11SCh. 1 - LO 4 (Learning Objective 4: Construct an income...Ch. 1 - (Learning Objective 4: Construct a statement of...Ch. 1 - (Learning Objective 4: Construct a balance sheet)...Ch. 1 - LO 4 (Learning Objective 4: Solve for retained...Ch. 1 - Prob. 1.16SCh. 1 - Prob. 1.17SCh. 1 - Prob. 1.18SCh. 1 - LO 1.2, 3, 4. 5 (Learning Objectives 1, 2, 3, 4,...Ch. 1 - Group A LO 3, 4 (Learning Objectives 3, 4: Apply...Ch. 1 - Which company appears to have the strongest...Ch. 1 - LO 3, 4 (Learning Objectives 3, 4: Apply the...Ch. 1 - LO 4 (Learning Objective 4: Identify financial...Ch. 1 - LO 4 (Learning Objective 4: Construct a balance...Ch. 1 - LO 3,4 (Learning Objectives 3, 4: Apply the...Ch. 1 - LO 4 (Learning Objective 4: Construct an income...Ch. 1 - LO 4 (Learning Objective 4: Construct an income...Ch. 1 - LO 4 (Learning Objective 4: Construct a balance...Ch. 1 - Prob. 1.29AECh. 1 - Prob. 1.30AECh. 1 - Prob. 1.31AECh. 1 - Prob. 1.32BECh. 1 - Which company appears to have the strongest...Ch. 1 - LO 3,4 (Learning Objectives 3, 4: Apply the...Ch. 1 - LO 4 (Learning Objective 4: Identify financial...Ch. 1 - LO 4 (Learning Objective 4: Construct a balance...Ch. 1 - (Learning Objectives 3, 4: Apply the accounting...Ch. 1 - Prob. 1.38BECh. 1 - LO 4 (Learning Objective 4: Construct an income...Ch. 1 - LO 4 (Learning Objective 4: Construct a balance...Ch. 1 - LO 4 (Learning Objective 4: Construct a statement...Ch. 1 - Prob. 1.42BECh. 1 - LO 4 (Learning Objective 4: Construct an income...Ch. 1 - An organizations investors and creditors will...Ch. 1 - Prob. 1.45QCh. 1 - Prob. 1.46QCh. 1 - Assets are usually reported at their a. appraised...Ch. 1 - Prob. 1.48QCh. 1 - Prob. 1.49QCh. 1 - Prob. 1.50QCh. 1 - Prob. 1.51QCh. 1 - All of the following are current assets except a....Ch. 1 - Prob. 1.53QCh. 1 - Prob. 1.54QCh. 1 - Prob. 1.55QCh. 1 - Prob. 1.56QCh. 1 - Net income appears on which financial...Ch. 1 - Cash paid to purchase a building appears on the...Ch. 1 - The stockholders equity of Kowalski Company at the...Ch. 1 - Prob. 1.60QCh. 1 - Which of the following factors should influence...Ch. 1 - LO 3, 4 (Learning Objectives 3, 4: Apply the...Ch. 1 - Prob. 1.63APCh. 1 - LO 2, 3, 4 (Learning Objectives 2, 3, 4: Apply...Ch. 1 - LO 3,4 (Learning Objectives 3, 4: Evaluate...Ch. 1 - LO 3, 4 (Learning Objectives 3,4: Evaluate...Ch. 1 - LO 4 (Learning Objective 4: Construct financial...Ch. 1 - Group B LO 3, 4 (Learning Objectives 3, 4: Apply...Ch. 1 - LO 3,4 (Learning Objectives 3, 4: Apply the...Ch. 1 - Prob. 1.70BPCh. 1 - LO 3,4 (Learning Objectives 3, 4: Evaluate...Ch. 1 - LO 3, 4 (Learning Objectives 3,4: Evaluate...Ch. 1 - Prob. 1.73BPCh. 1 - Prob. 1.74SCCh. 1 - Decision Cases LO 1, 4 (Learning Objectives 1, 4:...Ch. 1 - LO 3, 4 (Learning Objectives 3, 4: Evaluate...Ch. 1 - Prob. 1.77EIC
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- (Learning Objective 6: Analyze and evaluate liquidity and debt-paying ability) LO 6McClain Companyβs condensed and adapted balance sheet at December 31, 2018, follows:(In millions)Total current assets....................................................... $15.9Property, plant, equipment, and other assets................. 16.2$32.1Total current liabilities.................................................. $ 9.6Total long-term liabilities.............................................. 5.5Total shareholdersβ equity............................................. 17.0$32.1Assume that during the first quarter of the following year, 2019, McClain completed the following transactions:a. Earned revenue of $2.8 million, on account.b. Borrowed $7.0 million in long-term debt.c. Paid half of the current liabilities.d. Paid selling expense of $0.6 million.e. Accrued general expense of $0.8 million. Credit General Expense Payable, a currentliability.f. Purchased equipment for $4.6 million, paying cashβ¦arrow_forwardRevenue R100 000, Debtors (opening R50 000, closing R110 000), Calculate Cash Receipts from Customers. Select one: a.Β R60 000 b.Β R40 000 c.Β R110 000 d.Β R100 000arrow_forwardSimple Accounting β Balance Sheet. Assets Liabilities Shareholders' Equity $567,005.00 $389,055.00 O a. $567,005.00 O b. $389,055.00 O c. $177,950.00 O d. $744,955.00arrow_forward
- Q4. E1-18 00 Using the accounting equation to analyze business transactions [5-10 min] Great City Builders balance sheet data at May 31, 2012, and June 30, 2012, follow: May 31, 2012 June 30, 2012 Total assets $177,000 $213,000 Total liabilities 122,000 144,000 Requirement 1. Following are three situations about owner's investments and drawings of the business during June. For each situation, compute the amount of net income or net loss during June 2012. a. The owner invested $6,000 in the business and made no withdrawals. b. The owner made no investments. The owner withdrew cash $10,000. c. The company owner made investments of $18,000 and withdrew cash of $20,000.arrow_forwardWhat is net income for Shiver Ice House? Common Stock....$120,000 Cash....... Supplies...... $116,640 $1,500 Prepaid Rent....... $3,200 Revenue............ $20,000 Retained Earnings. $30,000 O $20,528 $19,578 $24,578 $23,728 $49,578 Accounts Payable......$25,000 Accounts Receivable..$22,450 Office Equipment......$23,300 Unearned Revenue.... $4,152 Utilities Expense....... $422 Shaving Equipment...$31,640 Aarrow_forwardNEED HELP CONTINUATION The following financial assets appeared in a recent balance sheet of Apple Inc. (dollar amounts are stated in millions). Cash and cash equivalentsβ¦β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦..β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦. $20,289 Marketable securities (short-term investments) β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦β¦............ $53,892 Accounts receivable (net of allowance for doubtful accounts of $58)β¦β¦............. $17,874 D. What types of investments might Apple Inc. own that are considered cash equivalents? E. Explain what is meant by the balance sheet presentation of Apple Inc.βs Accounts Receivable as shown in the table.arrow_forward
- Question 4. (a) You are required to calculate and state the missing figures represented by alphabets ABC Ltd XYZ Ltd Ghs '000 Ghs '000 7,300 1,392 A B Ρ D E F G H I Turnover Cost of sales Stocks Bank Trade creditors Accruals Gross profit Gross profit Margin% Distribution costs Admin expenses Debtors Net current assets Operating profit Interest Net Profit Net Profit Margin % Plant and machinery Ordinary shares of Ghs1 Retained profit 10% debenture Current assets Current liabilities Equity 8,030 4,818 J 1,800 40 100 1,606 600 1,006 K L 200 4,000 900 3,120 O 2,000 1,100 P M N 238 370 120 42% 1,320 480 800 1,266 200 3,960 900 2,000 2,430 3,500arrow_forwardPresented below is the balance sheet for Sabino Family Dentistry on January 1 of the current year. Β SABINO FAMILY DENTISTRY Statement of Financial Position (Balance Sheet) January 1,Β 20__ Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β AssetsΒ Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Liabilities & Shareholdersβ Equity CashΒ Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β $Β 33,000Β Β Β Β Β Liabilities: Accounts receivable.........Β Β Β 51,150Β Β Β Β Β Β Β Accounts payable ..............................Β Β Β Β $Β 74,250 LandΒ Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β 313,500Β Β Β Β Β Β Β Β Β Β Β Total liabilities.................................Β Β Β Β $Β 74,250 Building...........................Β Β Β Β 371,250Β Β Β Β Β Equity:Β Β Β Β Β Β Β Β Β Β Β Β Equipment........................Β Β Β Β Β 57,750Β Β Β Β Β Β Β Β Β Β Β Share capital....................................Β Β Β Β Β 752,400 Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Β Total liabilities and Total assets.......................Β Β $826,650Β Β Β Β Β equity...................................................Β Β Β Β $826,250 Β During theβ¦arrow_forwardThe trial balance of Wallaby Ltd shown below does not balance. Cash Accounts receivable. Supplies ............ Equipment Accounts payable Share capital Dividends... Service revenue. Wallaby Ltd Trial balance at 30 June 2023 Debit $ 2,600 7,600 .....600 Credit .....8,300 $ 9,766 1,941 .....1,500 15,200 Wages expense 3,800 Repair expense... 1,600 Totals..... $26.000 $26.907 An examination of the ledger and journal reveals the following errors: 1. Each of the above listed accounts has a normal balance per the general ledger. 2. Cash of $350 received from a customer on account was debited to Cash $530 and credited to Accounts receivable $530. 3. Dividends of $300 paid to shareholders were posted as a credit to Dividends, $300 and a credit to Cash $300. 4. Wages expense of $300 was omitted from the trial balance. 5. The purchase of equipment on account for $700 was recorded as a debit to Repair expense and a credit to Accounts payable for $700. 6. Services were performed on account for aβ¦arrow_forward
- (Learning Objectives 3, 4: Evaluate business operations; construct and analyze anincome statement, a statement of retained earnings, and a balance sheet) The assets andliabilities of Full Moon Products, Inc., as of December 31, 2018, and revenues and expenses forthe year ended on that date are as follows:Equipment........................... $ 115,000Interest expense................... 10,000Interest payable ................... 2,800Accounts payable ................ 25,000Salary expense..................... 108,900Building............................... 405,000Cash.................................... 46,000Common stock.................... 26,100Land................................... $ 29,000Note payable...................... 99,200Property tax expense .......... 7,300Rent expense ...................... 41,000Accounts receivable............ 85,000Service revenue................... 451,600Supplies.............................. 6,200Utilities expense ................. 8,100Beginningβ¦arrow_forwardCompute the missing amounts for each of the following businesses. Β Using the informationβ given, complete each of the empty boxes. Β Β Francis Co. Lex Co. Mallox Co. Beginning: Β Β Β Assets. . . . . . . . . . . . . . . $390,000 $335,000 $600,000 Liabilities. . . . . . . . . . . . . 290,000 165,000 440,000 Ending: Β Β Β Assets. . . . . . . . . . . . . . . $500,000 $395,000 Β Liabilities. . . . . . . . . . . . . 330,000 180,000 570,000 Owner's Equity: Β Β Β Investments by owner. . . . Β $0 $140,000 Withdrawals by owner. . . . 270,000 180,000 220,000 Income Statement: Β Β Β Revenues. . . . . . . . . . . . $660,000 $355,000 $950,000 Expenses. . . . . . . . . . . . . 640,000 Β 675,000arrow_forwardA moodle1.du.edu.om P Flag question Some selected financial statement items belonging to Mirbat Company are given in the table below. According to this information, which of the following is Receivables Turnover ratio? Average Receivables 15,000 Sales 77,000 Gross Profit 30,000 Non-current Assets 80,000 Sales returns 2,000 Shareholders' Equity 65,000 Select one: Π°. 3.33 O b. 0.20 c. 5.13 O d. 5 Previous page Next page IIarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- AccountingAccountingISBN:9781337272094Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.Publisher:Cengage Learning,Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
- Horngren's Cost Accounting: A Managerial Emphasis...AccountingISBN:9780134475585Author:Srikant M. Datar, Madhav V. RajanPublisher:PEARSONIntermediate AccountingAccountingISBN:9781259722660Author:J. David Spiceland, Mark W. Nelson, Wayne M ThomasPublisher:McGraw-Hill EducationFinancial and Managerial AccountingAccountingISBN:9781259726705Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting PrinciplesPublisher:McGraw-Hill Education
Accounting
Accounting
ISBN:9781337272094
Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:Cengage Learning,
Accounting Information Systems
Accounting
ISBN:9781337619202
Author:Hall, James A.
Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...
Accounting
ISBN:9780134475585
Author:Srikant M. Datar, Madhav V. Rajan
Publisher:PEARSON
Intermediate Accounting
Accounting
ISBN:9781259722660
Author:J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:9781259726705
Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:McGraw-Hill Education
The ACCOUNTING EQUATION For BEGINNERS; Author: Accounting Stuff;https://www.youtube.com/watch?v=56xscQ4viWE;License: Standard Youtube License