E23-5 (Preparation of Operating Activities Section-Direct Method) Krauss Company's income state ment for the year ended December 31, 2014, contained the following condensed information. $840,000 Service revenue Operating expenses (excluding depreciation) Depreciation expense Loss on sale of equipment Income before income taxes Income tax expense Net income $624,000 60,000 26,000 710,000 130,000 40,000 $ 90,000

E23-5 (Preparation of Operating Activities Section-Direct Method) Krauss Company's income state ment for the year ended December 31, 2014, contained the following condensed information. $840,000 Service revenue Operating expenses (excluding depreciation) Depreciation expense Loss on sale of equipment Income before income taxes Income tax expense Net income $624,000 60,000 26,000 710,000 130,000 40,000 $ 90,000

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter7: Operating Assets

Section: Chapter Questions

Problem 6MCQ: Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense...

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Zumbrunn Company’s income statement contained the following condensed information. ZUMBRUNN COMPANYIncome StatementFor the Year Ended December 31, 2020 Service revenue $971,400 Operating expenses, excluding depreciation $623,600 Depreciation expense 55,900 Loss on disposal of plant assets 24,600 704,100 Income before income taxes 267,300 Income tax expense 39,600 Net income $227,700 Zumbrunn’s balance sheets contained the comparative data at December 31, shown below. 2020 2019 Accounts receivable $74,500 $59,000 Accounts payable 41,600 28,800 Income taxes payable 10,600 6,800 Accounts payable pertain to operating expenses.Prepare the operating activities section of the statement of cash flows using the direct method.
15. The Lucio Corporation presented the following balances from the historical peso income statement for the year ended December 31, 2018: Sales P350,000 Cost of goods sold Depreciation - building Depreciation - equipment All other expenses Other information include: 218,000 34,000 23,000 48,000 • Merchandise available for sale came from 2017 inventory of P28,750 and 2018 purchases of P220,000. Building costing P850,000 was acquired at the end of 2015. Equipment totalled P115,000, of which P85,000 was bought at the end of 2015 and P30,000 was bought at the end of 2017. • The company uses the FIFO method of inventory valuation; average indexes for the year are used in restating inventories. General price indexes at year end are as follows: 2015 - 100 2017 - 106 2016 - 102 2018 - 112 (assume that all changes in the general price level index tool place more or less evenly during the year.) What should Lucio Corporation report as net income for the year ended December 31, 2018 restated for…
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Total noncurrent assets *?
Non-current assets Property, plant and equipment Development Expenditure Current assets Inventories Trade receivables Investments Cash Total assets Equity Share capital-$1 Ordinary shares Share premium Revaluation surplus Retained Earnings Non-Current liabilities 12% Debentures Finance Lease Liabilities Deferred Tax Current Liabilities Trade payables Finance Lease Liabilities Current Tax Debenture interest Bank overdraft Total equity and liabilities 2018 $'000 925 290 1,215 360 274 143 29 806 2021 500 350 160 229 1,239 150 100 48 298 274 17 56 132 484 2,021 2017 $'000 737 160 897 227 324 46 117 714 1611 400 100 60 255 815 100 80 45 225 352 12 153 54 571 1,611
Required information [The following information applies to the questions displayed below.] Portions of the financial statements for Parnell Company are provided below. For the Revenues and gains: Sales Cost of goods sold Gain on sale of building Expenses and loss: PARNELL COMPANY Income Statement Income tax expense Year Ended December 31, 2021 ($ in thousands) Salaries Insurance Depreciation Interest expense Loss on sale of equipment Income before tax Net income $ 820 10 $310 122 42 125 52 13 $ 830 664 166 83 $ 83
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