Multiple-Step Income Statement On March 31, 20Y5, the balances of the accounts appearing in the ledger of Lange Daughters Inc. are as follows: Administrative Expenses $ 224,600 Inventory $ 233,800 Accumulated Dep. - Building 184,460 Notes Payable 52,900 Building 922,300 Office Supplies 18,900 Common Stock 150,000 Retained Earnings 873,800 Cash 87,500 Sales 2,297,200 Cost of Goods Sold 1,259,800 Selling Expenses 368,800 Dividends 44,800 Store Supplies 14,000 Interest Expense 13,500 a. Prepare a multiple-step income statement for the year ended March 31, 20OY5. Lange Daughters Inc. Income Statehent For the Year Ended March 31, 20Y5 %$4 Operating Expenses: Total operating expenses O

Multiple-Step Income Statement On March 31, 20Y5, the balances of the accounts appearing in the ledger of Lange Daughters Inc. are as follows: Administrative Expenses $ 224,600 Inventory $ 233,800 Accumulated Dep. - Building 184,460 Notes Payable 52,900 Building 922,300 Office Supplies 18,900 Common Stock 150,000 Retained Earnings 873,800 Cash 87,500 Sales 2,297,200 Cost of Goods Sold 1,259,800 Selling Expenses 368,800 Dividends 44,800 Store Supplies 14,000 Interest Expense 13,500 a. Prepare a multiple-step income statement for the year ended March 31, 20OY5. Lange Daughters Inc. Income Statehent For the Year Ended March 31, 20Y5 %$4 Operating Expenses: Total operating expenses O

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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Simon Company's year-end balance sheets follow. At December 31 Current Year 1 Year Ago 2 Years Ago Assets Cash $ 32,700 $ 37,849 $ 37,130 Accounts receivable, net 94,775 65,580 51,527 Merchandise inventory 120,330 86,659 53,800 Prepaid expenses 10,118 10,034 4,252 Plant assets, net 285,450 268,303 235,991 Total assets $ 543,373 $ 468,425 $ 382,700 Liabilities and Equity Accounts payable $ 138,006 $ 78,372 $ 51,022 Long-term notes payable 100,111 107,738 83,731 Common stock, $10 par value 163,500 163,500 162,500 Retained earnings 141,756 118,815 85,447 Total liabilities and equity $ 543,373 $ 468,425 $ 382,700 For both the current year and one year ago, compute the following ratios: 1. Express the balance sheets in common-size percents.2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable?3. Assuming annual sales have not…
The financial statements of New World, Incorporated, provide the following information for the current year: December 31 January 1 Accounts receivable $ 288,000 $ 391,500 Inventory $ 281,250 $ 267,000 Prepaid expenses $ 73,200 $ 70,500 Accounts payable (for merchandise) $ 259,800 $ 251,550 Accrued expenses payable $ 66,150 $ 79,950 Net sales $ 3,172,500 Cost of goods sold $ 1,672,500 Operating expenses (including depreciation of $64,000) $ 382,500 What is New World's net cash flow from operating activities for the current year?
Presented below are selected account balances for Skysong Co. as of December 31, 20X1. Inventory 12/31/X1 Common Stock Retained Earnings Dividends Sales Returns and Allowances $60,380 73,910 44,880 18,039 Cost of Goods Sold Selling Expenses Administrative Expenses Income Tax Expense $224,260 16,250 37,419 29,860 11,879 Sales Discounts 15,240 Sales Revenue 417,310 Prepare closing entries for Skysong Co. on December 31, 20X1.
Assignment on Income Statement Presented below are selected ledger accounts of Metro Inc. at December 31, 20x1. Cash 185,000 Prepaid insurance 24,000 Merchandise inventory, 1/1/20X1 535,000 Advertising expense 54,000 Sales 4,275,000 Prepaid income tax 93,000 Advances from customers 117,000 Depreciation of sales equipment 36,000 Purchases 2,786,000 Telephone – sales 17,000 Purchase discounts 27,000 Unearned rent 8,000 Sales salaries 284,000 Rental revenue 240,000 Sales returns 79,000 Interest expense 176,000 Transportation-in 72,000 Common stock ($10 par) 900,000 Sales equipment 135,500 Additional paid-in capital 250,000 Accounts receivable 142,500 Retained earnings 166,000 Metro’s tax rate on all items is 34%. A physical inventory indicates that the ending inventory is…
Assume a merchandising company had credit sales of $380,000, cost of goods sold of $187,000, and net income of $60,000. It provided the following excerpts from its balance sheet: This Year Last Year Current assets: Accounts receivable $ 40,000 $ 46,000 Inventory $ 53,000 $ 50,000 Prepaid expenses $ 13,000 $ 11,000 Current liabilities: Accounts payable $ 39,000 $ 44,000 Income taxes payable $ 13,000 $ 10,000 If the company purchases its merchandise inventory on account, then based solely on the information provided, the company’s cash paid for inventory purchases would be: Garrison 17e Rechecks 2020-10-02 Multiple Choice $189,000. $185,000. $195,000. $179,000.
Subject: acounting
Financial Ratios The financial statements for Jackson Enterprises (income statement, statement of owner’s equity, and balance sheet) are shown. Jackson EnterprisesIncome StatementFor Year Ended December 31, 20-- Revenue from sales: Sales $170,000 Less: Sales returns and allowances 10,000 Net sales $160,000 Cost of goods sold: Merchandise inventory, January 1, 20-- $7,700 Estimated returns inventory, January 1, 20-- 1,300 $9,000 Purchases $92,900 Less: Purchases returns and allowances $1,862 Purchases discounts 1,828 3,690 Net purchases $89,210 Add: Freight-in 961 Cost of goods purchased 90,171 Goods available for sale $99,171 Less: Merchandise inventory, Dec. 31, 20-- $8,300 Estimated returns inventory, Dec. 31, 20-- 1,200 9,500 Cost of goods sold 89,671 Gross profit…
Income statement data for Winthrop Company for two recent years ended December 31 are as follows: 1 Current Year Previous Year 2 Sales $1,596,000.00 $1,400,000.00 3 Cost of goods sold 1,316,700.00 1,197,000.00 4 Gross profit $279,300.00 $203,000.00 5 Selling expenses $76,950.00 $67,500.00 6 Administrative expenses 55,000.00 50,000.00 7 Total operating expenses $131,950.00 $117,500.00 8 Income before income tax $147,350.00 $85,500.00 9 Income tax expense 11,060.00 7,000.00 10 Net income $136,290.00 $78,500.00 A. Prepare a comparative income statement with horizontal analysis, indicating the increase (decrease) for the current year when compared with the previous year. Round percentages to one decimal place. B. What conclusions can be drawn from the horizontal analysis? Round the answers to one decimal place.