Case: Wilson JohnsonWilson Johnson, a childhood, friend has asked you to assist with his personal finances.Single and 30 years old, he is employed as an accountant with a technology company.Wilson has moved from a two-bedroom $650 apartment to a condo costing $1,100 permonth. The association owns two golf courses, a lake and an activities center.His other monthly expenses include:Renter's Insurance$25550Car paymentUtilities235Cell phone200House phone50Food225Clothes125Car Expenses260Entertainment350Wilson is surprised how much he spends on clothing and entertainment. He uses creditcards...the balance is $7,500 and climbing. Wilson makes the required monthlypayments. He would like to reduce the balance and pay it offWilson's other goal is to save for retirement by putting $4,500 per year away and retiringat 60. He wants to start saving in 5 years and does not think the delay will greatly affectthe amount of retirement savingsWilson has a current balance in his checking account of $3,500 and S400 in his savingsaccount. He has furniture valued at $1,800 and owns $1,500 of tech stocks, which hethinks, will grow by leaps and bounds.Case Questions - Section 1:la) Prepare a personal cash flow statement for Wilson JohnsonPersonal Cash Flow Statement (Monthly)Cash InflowsCash Outflows

Personal Cash flow statement reflects the cash inflows and outflows of an individual in order to…

Answered: Wilson Johnson, a childhood, friend has…

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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