ACCT.PRINCIPLES (LL)
14th Edition
ISBN: 9781119707110
Author: Weygandt
Publisher: WILEY
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View Policies Current Attempt in Progress Presented below is financial information related to the 2020 operations of
Ivanhoe Cruises SA. Maintenance and repairs expense, R$96,000 Utilities expense 10,800 Salaries and wages expense
144,000 Advertising expense 3,000 Ticket revenue 359,000 Other comprehensive income 3, 500 Prepare the 2020
income statement for Ivanhoe Cruises SA. Prepare the 2020 comprehensive income statement for Ivanhoe Cruises SA.
Given below is AU Chiefs Company’s financial statements. Compute for the financial rations and showthe solutions in a sheet of paper.1. Expenses to sale ratio2. Return on assets3. Return on Equity4. Asset Turnover ratio
2020
2019
Cash
122,500
104,700
Accounts Receivable
90,650
80,550
Inventory
66,200
53,000
Prepaid Expense
85,450
106,000
Total Current Assets
364,800
344,250
Property, Plant and Equipment
925,000
786,350
TOTAL ASSETS
1,654,600
1,475,350
Total Current Liability
381,500
423,350
Long-term Liabilities
359,900
230,600
Mabini, Capital
913,200
821,400
Total Liability and Equity
1,654,600
1,475,350
Sales
1,047,050
1,151,755
Cost of Sales
322,750
355,025
Gross Profit
724,300
796,730
Selling Expenses
353,250
388,575
Administrative Expenses
128,150
140,965
Operating Income
242,900
267,190
Interest Income…
Integrative: Pro forma statements Morten Metal Limited has assembled past (2020) financial statements (income statement and balance sheet follows) and financial projections for use in preparing financial plans for the coming year (2021).
Information related to financial projections for the year 2021 follows. (1) Projected sales are $420,000.(2) Cost of goods sold in 2020 includes $72,000 in fixed costs.(3) Operating expense in 2020 includes $17,500 in fixed costs.(4) Interest expense will be $18,000 in 2021.(5) The firm will pay cash dividend amounting to 25% of net profit after taxes.(6) Cash and inventories are expected to double.(7) Marketable securities, long-term debt, and common stock will remain unchanged.(8) Accounts receivable, accounts payable, and other current liabilities will change in direct response to the change in sales.(9) During the year, the firm will purchase a delivery vehicle costing $25,000. The depreciation expense on the new vehicle for 2021 will be…
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- How do you figure: Income from continuing Operation and Discontinued Operation for this problem? Selected information about income statement accounts for the Reed Company is presented below (the company's fiscal year ends on December 31): 2021 2020 Sales revenue $ 4,400,000 $ 3,500,000 Cost of goods sold 2,860,000 2,000,000 Administrative expense 800,000 675,000 Selling expense 360,000 302,000 Interest revenue 150,000 140,000 Interest expense 200,000 200,000 Loss on sale of assets of discontinued component 48,000 — On July 1, 2021, the company adopted a plan to discontinue a division that qualifies as a component of an entity as defined by GAAP. The assets of the component were sold on September 30, 2021, for $48,000 less than their book value. Results of operations for the component (included in the above account balances) were as follows: 1/1/2021–9/30/2021 2020 Sales revenue $ 400,000 $ 500,000 Cost…arrow_forwardIntegrative: Pro forma statements Morten Metal Limited has assembled past (2020) financial statements (income statement and balance sheet follows) and financial projections for use in preparing financial plans for the coming year (2021) Information related to financial projections for the year 2021 follows. (1) Projected sales are $420,000.(2) Cost of goods sold in 2020 includes $72,000 in fixed costs.(3) Operating expense in 2020 includes $17,500 in fixed costs.(4) Interest expense will be $18,000 in 2021.(5) The firm will pay cash dividend amounting to 25% of net profit after taxes.(6) Cash and inventories are expected to double.(7) Marketable securities, long-term debt, and common stock will remain unchanged.(8) Accounts receivable, accounts payable, and other current liabilities will change in direct response to the change in sales.(9) During the year, the firm will purchase a delivery vehicle costing $25,000. The depreciation expense on the new vehicle for 2021 will be…arrow_forwardBerhad has the following financial statement as at 31 December 2019: Jiki Berhad Statement of Financial Position as at 31 December 2019 Assets (RM) Plant (Net) 4,000,000 Research and Development 16,000,000 Cash 5,400,000 Trade Receivable (Net) 5,400,000 Interest Receivable 800,000 Inventory 2,000,000 Total Assets 33,600,000 Liabilities and Shareholders’ Equity Trade Payable 5,920,000 Loan Payable 9,300,000 Provision for warranties 300,000 Deferred tax liability 4,200,000 Share Capital 10,380,000 Retained Earnings 3,500,000 Total Liabilities and Shareholders’ Equity 33,600,000 Additional Information: a) Tax laws allow only specific bad debts. The carrying amount in the trade receivable account is after the provision of 10% provision of doubtful debts. b) Interest receivable is recorded on accrued basis however is taxable only upon receipt. c) The carrying amount of the plant is after providing accumulated depreciation of RM 6 million. As at 31…arrow_forward
- Brown Company, had the following statements prepared as of December 31, 2020. Brown CompanyComparative Balance SheetAs of December 31, 2020 and 2019 12/31/20 12/31/19 Cash $160,800 $38,400 Accounts receivable 123,200 49,000 Inventory 112,500 57,900 investments (available-for-sale) 90,000 101,000 factory assets 240,000 212,500 Total assets $726,500 $458,800 Accounts payable $100,000 $65,200 mortgage debt 50,000 77,000 accumulated depreciation 30,000 52,000 Common stock 175,000 131,100 Retained earnings 371,500 133,500 Total liabilities and stockholders' equity $726,500 $458,800 Brown CompanyIncome StatementFor the Year Ending December 31, 2020 Sales revenue $440,000 Interest and other income (Including gain on sale of investment $5,000) 20,000…arrow_forwardBrown Company, had the following statements prepared as of December 31, 2020. Brown CompanyComparative Balance SheetAs of December 31, 2020 and 2019 12/31/20 12/31/19 Cash $160,800 $38,400 Accounts receivable 123,200 49,000 investments (available-for-sale) 112,500 57,900 Inventory 90,000 101,000 factory assets 240,000 212,500 Total assets $726,500 $458,800 Accounts payable $100,000 $66,200 mortgage debt 50,000 77,000 accumulated depreciation 30,000 52,000 Common stock 175,000 131,100 Retained earnings 371,500 133,500 Total liabilities and stockholders' equity $726,500 $458,800 Brown CompanyIncome StatementFor the Year Ending December 31, 2020 Sales revenue $440,000…arrow_forwardThe following information related to TRT Company for the years 2019 and 2020. 1. Income Statement Information 2019 2020 Net Sales $310,000 $250,000 Cost of Goods Sold 00,000 n6,000 Operating Expense 46,000 41,000 Interest Expernse 9,000 10,200 Income Tax Expense 10,200 9,600 Net Income 154,000 103 200 2. Other Infomation: 2019 2020 Total Assets $250,000 $190,000 Construction in Progress 15,000 14,200 intangible Assets 7,000 7,000 Long-term debts 70,000 70,000 Current liabilities 40,000 50,000 Preferred Stocks, 5% 10,000 10,000 Common Stocks. 210,000 150,000 Dividend For Common shares 84,000 60,000 Market Price of Common Shares 16 10 3. Common Stock outstanding information: *No change in outstanding common shares during 2019. in 2020 the following changes occurred: January 1.2020 (Beginning) 40,000 April 1. 2020 Shares issued 20,000 July 1. 2020 Purchased Treasury shares 6,000 Sept 30. 2020 Shares issued 8,000 November 1.2020 Stock Dividend 10% issued Dec 31.2020 Shares issued 1,950…arrow_forward
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- The management of Zigby Manufacturing prepared the following estimated balance sheet for March 2019. ZIGBY MANUFACTURINGEstimated Balance SheetMarch 31, 2019 Assets Cash $ 54,000 Accounts receivable 354,375 Raw materials inventory 100,495 Finished goods inventory 333,000 Total current assets 841,870 Equipment 628,000 Accumulated depreciation (164,000 ) Equipment, net 464,000 Total assets $ 1,305,870 Liabilities and Equity Accounts payable $ 212,195 Short-term notes payable 26,000 Total current liabilities 238,195 Long-term note payable 514,000 Total liabilities 752,195 Common stock 349,000 Retained earnings 204,675 Total stockholders’ equity 553,675 Total liabilities and equity $ 1,305,870 To prepare a master budget for April, May, and June of 2019, management gathers the following information. Sales for March total…arrow_forwardDuring 2020, Mami Corp. received P8,000,000 from tenants. The balance sheet contained the following data: 2019 2020 Rentals receivable P 960,000 P1,240,000 Unearned rentals 3,200,000 2,400,000 What amount of rental revenue should be reported for 2020?arrow_forwardAn entity reported the following information for the year ended December 31, 2020: Sales 7,750,000 Cost of goods sold 2,400,000 Administrative expenses 700,000 Loss on sale of equipment 100,000 Sales commissions 500,000 Interest revenue 450,000 Freight out 150,000 Loss on early extinguishment of long-term debt 200,000 Doubtful accounts expense 150,000 What is the income from continuing operations for 2020?arrow_forward
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