we have to make statement of financial position During 2020, the following occurred:Jia Inc. sold some of its trademarks. The trademarks had an unlimited useful life and a cost of $10,000. They were sold for1.proceeds of $19,500.2.Machinery was purchased in exchange for long-term debt of $40,000.3.Long-term debt in the amount of $16,000 was retired before maturity by paying $16,000 cash.An additional $11.500 in common shares was issued.4.5.Dividends totalling $13.200 were declared and paid to shareholders. Dividends paid are treated as financing activities.6.Net income for 2020 was $44,000 after allowing for depreciation of $19.000.7.Machinery with a carrying value of $18,000 was sold at a gain of $7.000.At December 31. 2020. Cash was S67,800: Accounts Receivable was $111,000; Accounts Payable was $83,000 andInventory increased to $107,000.8. Culver Inc. applies ASPE and had the following statement of financial position at the end of operations for 2019:CULVER INC.Statement of Financial PositionDecember 31, 2019Cash$50,500Accounts payable$93,000Accounts receivable90,000 Long-term debt85,000Inventory82,000Common shares100,000Machinery (net)125,000Retained earnings89,500Trademarks20,000$367,500$367,500During 2020, the following occurred:

Statement of financial position is prepared by every business to see the position of business in…

Answered: Jia Inc. sold some of its trademarks.…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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we have to make statement of financial position

During 2020, the following occurred:
Jia Inc. sold some of its trademarks. The trademarks had an unlimited useful life and a cost of $10,000. They were sold for
1.
proceeds of $19,500.
2.
Machinery was purchased in exchange for long-term debt of $40,000.
3.
Long-term debt in the amount of $16,000 was retired before maturity by paying $16,000 cash.
An additional $11.500 in common shares was issued.
4.
5.
Dividends totalling $13.200 were declared and paid to shareholders. Dividends paid are treated as financing activities.
6.
Net income for 2020 was $44,000 after allowing for depreciation of $19.000.
7.
Machinery with a carrying value of $18,000 was sold at a gain of $7.000.
At December 31. 2020. Cash was S67,800: Accounts Receivable was $111,000; Accounts Payable was $83,000 and
Inventory increased to $107,000.
8.

Culver Inc. applies ASPE and had the following statement of financial position at the end of operations for 2019:
CULVER INC.
Statement of Financial Position
December 31, 2019
Cash
$50,500
Accounts payable
$93,000
Accounts receivable
90,000 Long-term debt
85,000
Inventory
82,000
Common shares
100,000
Machinery (net)
125,000
Retained earnings
89,500
Trademarks
20,000
$367,500
$367,500
During 2020, the following occurred:

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

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