Company V Company W Company Company Y Company December 31, 2018 Assets $54,000 $ 80,000 $141,500 $92,500 $144,000 Liabilittes.. 25,000 60,000 68,500 51,500 December 31, 2019 Assets 59,000 100,000 186,500 170,000 Llabilities.. 36,000 65,800 42,000 42,000 During year 2019 Owner Investments 5,000 20,000 48,100 60,000 Net Income (or loss). ? 40,000 18,500 24,000 32,000 Owner cash withdrawals. 5,500 2,000 20,000 8,000 Required 1. Answer the following questions about Company V. a. What is the amount of equity on December 31, 2018? b. What is the amount of equity on December 31, 2019? c. What is the net income or loss for the year 2019? [continued on next page] Chapter 1 Accounting In Business 2. Answer the following questions about Company W. a. What is the amount of equity on December 31, 2018? b. What is the amount of equity on December 31, 2019? c. What is the amount of liabilities on December 31, 2019? 3. Compute the amount of owner investments for Company X during 2019. 4. Compute the amount of assets for Company Y on December 31, 2019. 5. Compute the amount of liabilities for Company Z on December 31, 2018.

Company V Company W Company Company Y Company December 31, 2018 Assets $54,000 $ 80,000 $141,500 $92,500 $144,000 Liabilittes.. 25,000 60,000 68,500 51,500 December 31, 2019 Assets 59,000 100,000 186,500 170,000 Llabilities.. 36,000 65,800 42,000 42,000 During year 2019 Owner Investments 5,000 20,000 48,100 60,000 Net Income (or loss). ? 40,000 18,500 24,000 32,000 Owner cash withdrawals. 5,500 2,000 20,000 8,000 Required 1. Answer the following questions about Company V. a. What is the amount of equity on December 31, 2018? b. What is the amount of equity on December 31, 2019? c. What is the net income or loss for the year 2019? [continued on next page] Chapter 1 Accounting In Business 2. Answer the following questions about Company W. a. What is the amount of equity on December 31, 2018? b. What is the amount of equity on December 31, 2019? c. What is the amount of liabilities on December 31, 2019? 3. Compute the amount of owner investments for Company X during 2019. 4. Compute the amount of assets for Company Y on December 31, 2019. 5. Compute the amount of liabilities for Company Z on December 31, 2018.

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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