National Co. has the following balance sheet as of December 31, 2022. Current assets P 600,000 Fixed assets P 100,000 100,000 100,000 300,000 400,000 P1.000.000 Total liabilities & equity P1.000,000 Accounts payable 400,000 Accrued liabilities Notes payable Long-term debt Total common equity Total assets In 2022, the company reported sales of P5 million, net income of P100,000, and dividends of P50,000. The company anticipates its sales will increase 25 percent in 2023 and its dividend payout will remain at 50 percent. Assume the company is at full capacity, so its assets and spontaneous liabilities will increase proportionately with an increase in sales.

National Co. has the following balance sheet as of December 31, 2022. Current assets P 600,000 Fixed assets P 100,000 100,000 100,000 300,000 400,000 P1.000.000 Total liabilities & equity P1.000,000 Accounts payable 400,000 Accrued liabilities Notes payable Long-term debt Total common equity Total assets In 2022, the company reported sales of P5 million, net income of P100,000, and dividends of P50,000. The company anticipates its sales will increase 25 percent in 2023 and its dividend payout will remain at 50 percent. Assume the company is at full capacity, so its assets and spontaneous liabilities will increase proportionately with an increase in sales.

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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