-5037 Inc. reported the following data for last year. JEY-5037 Inc. Balance Sheet Assets Cash Accounts receivable. Inventory Plant and equipment, net Investment in Tesla Inc. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total liabilities and stockholders' equity JEY-5037 Inc. Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense Tax expense Net income O$ 466,350 O $444,100 O$ 446,850 O$ 453,600 $ 116,000 195,000 $ 4,914,000 4,176,900 737,100 311,000 $426,100 Beginning Balance $ 136,000 347,000 577,000 810,000 400,000 253,000 $ 2,523,000 Ending Balance $ 133,000 480,000 480,000 817,000 428,000 247,000 $ 2,585,000 $ 385,000 994,000 1,144,000 $ 2,523,000 $2,585,000 $ 349,000 994,000 1,242,000 EY-5037 Inc. paid dividends of $328,100 last year. The "Investment in Tesla Inc." item on the balance sheet represents an investme the stock of another company. The company's minimum required rate of return is 15%. What was the company's residual income last year?
-5037 Inc. reported the following data for last year. JEY-5037 Inc. Balance Sheet Assets Cash Accounts receivable. Inventory Plant and equipment, net Investment in Tesla Inc. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total liabilities and stockholders' equity JEY-5037 Inc. Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense Tax expense Net income O$ 466,350 O $444,100 O$ 446,850 O$ 453,600 $ 116,000 195,000 $ 4,914,000 4,176,900 737,100 311,000 $426,100 Beginning Balance $ 136,000 347,000 577,000 810,000 400,000 253,000 $ 2,523,000 Ending Balance $ 133,000 480,000 480,000 817,000 428,000 247,000 $ 2,585,000 $ 385,000 994,000 1,144,000 $ 2,523,000 $2,585,000 $ 349,000 994,000 1,242,000 EY-5037 Inc. paid dividends of $328,100 last year. The "Investment in Tesla Inc." item on the balance sheet represents an investme the stock of another company. The company's minimum required rate of return is 15%. What was the company's residual income last year?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:JEY-5037 Inc. reported the following data for last year:
Assets
Cash
Accounts receivable
Inventory
Plant and equipment, net
Investment in Tesla Inc.
Land (undeveloped)
Total assets
Liabilities and Stockholders' Equity
Accounts payable
Long-term debt
Stockholders' equity
Total liabilities and stockholders' equity
JEY-5037 Inc.
Income Statement
Sales
Operating expenses
Net operating income
Interest and taxes:
Interest expense
Tax expense
Net income
O $466,350
O $444,100
O$ 446,850
O $453,600
JEY-5037 Inc.
Balance Sheet
$ 116,000
195,000
$ 4,914,000
4,176,900
737,100
311,000
$426,100/
Beginning
Balance
$ 136,000
347,000
577,000
810,000
400,000
253,000
$ 2,523,000
Ending Balance
$ 133,000
480,000
480,000
817,000
428,000
247,000
$ 2,585,000
$ 385,000
994,000
1,144,000
$ 2,523,000 $ 2,585,000
$ 349,000
994,000
1,242,000
JEY-5037 Inc. paid dividends of $328,100 last year. The "Investment in Tesla Inc." item on the balance sheet represents an investment
in the stock of another company. The company's minimum required rate of return is 15%.
What was the company's residual income last year?
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