Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN: 9781337395083
Author: Eugene F. Brigham, Phillip R. Daves
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
A business has $210,000 total liabilities. At start-up, the owners invested $500,000 in the business. Unfortunately, the business has suffered a cumulative loss of $200,000 up to the present time. What is the amount of its total assets at the present time? Need Answer
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by stepSolved in 2 steps
Knowledge Booster
Similar questions
- Bruceton Farms Equipment Company had goodwill valued at $80 million on its balance sheet at year-end.A review of the goodwill by the company’s CFO indicated that the goodwill was impaired and was now only worth $50 million.What is the financial statement effect of the goodwill impairment? (Enter the amount of the change, using negative numbers when appropriate.) Assets change by million Liabilities change by million Equity changes by million Net income changes by millionarrow_forwardBruceton Farms Equipment Company had goodwill valued at $80 million on its balance sheet at year-end. A review of the goodwill by the company's CFO indicated that the goodwill was impaired and was now only worth $50 million. What is the financial statement effect of the goodwill impairment? (Enter the amount of the change, using negative numbers when appropriate.) Assets change by 0 million Liabilities change by $ 0 million Equity changes by $4 0 million Net income changes by $ 0 millionarrow_forwardFor the year just ended, Alpha Construction Services, Inc. started the year with net fixed assets of $625,000. The firm has Net Working Capital of $56,680. The company has a Total Debt Ratio of .45. The company took $125,000 in depreciation expense during the year. If the firm did not acquire any new assets nor dispose of any old fixed assets during the year, what amount in net fixed assets will the firm report at year-end?arrow_forward
- A company had the following results for the year: it achieved revenue of $2,500,000. It incurred operating expenses of $2,750,000. It spent $200,000 on a new piece of equipment. It borrowed $450,000 to fill the shortfall. how would you describe the company's results? a) profit of $200,000 b) profit if $50,000 c) no profit, no less d) loss of $50,000 e) loss of $250,000 f) loss of $450,000arrow_forwardCarlton West Oil Company, LLC had sales revenue of $500,000, operating expenses of $400,000, no interest expense, income taxes of $10,000, and $700,000 average operating assets in its latest operating year. The owner estimates the company’s weighted average cost of capital at 12%. a. What was the company’s asset utilization? b. What was the company’s return on assets? c. Did management create or destroy wealth (owners’ equity)?arrow_forwardI need the total assets for this problem, please!arrow_forward
- What is Jordan's ROE on these general accounting question?arrow_forwardIn an effort to analyze Clockwork Company finances, Jim realized that he was missing the company's earnings available for common stockholders for the current year. Find the company's earnings available for common stockholders using the following information. Return on total assets=2% Total asset turnover=0.5 Sales=$150,000 A.$105,000 B.$6,000 C.$60,000 D.$8,000arrow_forwardThere was a bit of concern about one of Big Rock's newer entities – Big Rock Paving Company. Management wants you to review the two financial statements below and give your analysis of the company's performance. Big Rock Paving Company Assets Liabilities Current Assets: Current Liabilities: 500,000 Accounts Payable 300,000 Notes Payable Cash 700,000 500,000 Accounts Receivable Inventory 800,000 Total Current Assets 1,300,000 Total Current Liabilities 1,200,000 Fixed Assets: Owners' Equity: Property, Plant & Equipment Less: Accumulated Depreciation Net Fixed Assets 2,200,000 Common Stock ($1 Par) 600,000 Capital Surplus 1,600,000 Retained Earnings 2,900,000 Total Owners' Equity 600,000 100,000 100,000 Total Assets 800,000 Total Liabilities and Owners' 2,900,000 Equity Big Rock Paving Company Income Statement for Year Ending December 31, 2021 Sales 3,400,000 Less: Cost of Goods Sold 2,700,000 700,000 Less: Administrative Expenses Less Depreciation Earnings Before Interest and Taxes Less:…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Intermediate Financial Management (MindTap Course...FinanceISBN:9781337395083Author:Eugene F. Brigham, Phillip R. DavesPublisher:Cengage LearningPrinciples of Accounting Volume 1AccountingISBN:9781947172685Author:OpenStaxPublisher:OpenStax College
Intermediate Financial Management (MindTap Course...
Finance
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax College