On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances: Accounts Debit Credit Cash $ 44,100 Accounts Receivable 47,300 Supplies 8,900 Equipment 78,000 Accumulated Depreciation $ 10,400 Accounts Payable 16,000 Common Stock, $1 par value 14,000 Additional Paid-in Capital 94,000 Retained Earnings 43,900 Totals $ 178,300 $ 178,300 During January 2021, the following transactions occur: January 2 Issue an additional 2,000 shares of $1 par value common stock for $40,000. January 9 Provide services to customers on account, $18,200. January 10 Purchase additional supplies on account, $6,300. January 12 Purchase 1,100 shares of treasury stock for $21 per share. January 15 Pay cash on accounts payable, $17,900. January 21 Provide services to customers for cash, $50,500. January 22 Receive cash on accounts receivable, $18,000. January 29 Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable on February 15. (Hint: Grand Finale Fireworks had 14,000 shares outstanding on January 1, 2021, and dividends are not paid on treasury stock.) January 30 Resell 800 shares of treasury stock for $23 per share. January 31 Pay cash for salaries during January, $43,400. The following information is available on January 31, 2021. Unpaid utilities for the month of January are $7,600. Supplies at the end of January total $6,500. Depreciation on the equipment for the month of January is calculated using the straightline method. At the time the equipment was purchased, the company estimated a service life of three years and a residual value of $11,400. Accrued income taxes at the end of January are $2,500 1 The return on equity is: 2 The number of common shares outstanding as of Jan 31, 2021 is . Earning per share is
On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances: Accounts Debit Credit Cash $ 44,100 Accounts Receivable 47,300 Supplies 8,900 Equipment 78,000 Accumulated Depreciation $ 10,400 Accounts Payable 16,000 Common Stock, $1 par value 14,000 Additional Paid-in Capital 94,000 Retained Earnings 43,900 Totals $ 178,300 $ 178,300 During January 2021, the following transactions occur: January 2 Issue an additional 2,000 shares of $1 par value common stock for $40,000. January 9 Provide services to customers on account, $18,200. January 10 Purchase additional supplies on account, $6,300. January 12 Purchase 1,100 shares of treasury stock for $21 per share. January 15 Pay cash on accounts payable, $17,900. January 21 Provide services to customers for cash, $50,500. January 22 Receive cash on accounts receivable, $18,000. January 29 Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable on February 15. (Hint: Grand Finale Fireworks had 14,000 shares outstanding on January 1, 2021, and dividends are not paid on treasury stock.) January 30 Resell 800 shares of treasury stock for $23 per share. January 31 Pay cash for salaries during January, $43,400. The following information is available on January 31, 2021. Unpaid utilities for the month of January are $7,600. Supplies at the end of January total $6,500. Depreciation on the equipment for the month of January is calculated using the straightline method. At the time the equipment was purchased, the company estimated a service life of three years and a residual value of $11,400. Accrued income taxes at the end of January are $2,500 1 The return on equity is: 2 The number of common shares outstanding as of Jan 31, 2021 is . Earning per share is
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances:
Accounts | Debit | Credit | ||||
Cash | $ | 44,100 | ||||
47,300 | ||||||
Supplies | 8,900 | |||||
Equipment | 78,000 | |||||
$ | 10,400 | |||||
Accounts Payable | 16,000 | |||||
Common Stock, $1 par value | 14,000 | |||||
Additional Paid-in Capital | 94,000 | |||||
43,900 | ||||||
Totals | $ | 178,300 | $ | 178,300 | ||
During January 2021, the following transactions occur:
January | 2 | Issue an additional 2,000 shares of $1 par value common stock for $40,000. | ||
January | 9 | Provide services to customers on account, $18,200. | ||
January | 10 | Purchase additional supplies on account, $6,300. | ||
January | 12 | Purchase 1,100 shares of |
||
January | 15 | Pay cash on accounts payable, $17,900. | ||
January | 21 | Provide services to customers for cash, $50,500. | ||
January | 22 | Receive cash on accounts receivable, $18,000. | ||
January | 29 | Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable on February 15. (Hint: Grand Finale Fireworks had 14,000 shares outstanding on January 1, 2021, and dividends are not paid on treasury stock.) | ||
January | 30 | Resell 800 shares of treasury stock for $23 per share. | ||
January | 31 | Pay cash for salaries during January, $43,400. |
The following information is available on January 31, 2021.
- Unpaid utilities for the month of January are $7,600.
- Supplies at the end of January total $6,500.
- Depreciation on the equipment for the month of January is calculated using the straightline method. At the time the equipment was purchased, the company estimated a service life of three years and a residual value of $11,400.
- Accrued income taxes at the end of January are $2,500
1 The return on equity is:
2 The number of common shares outstanding as of Jan 31, 2021 is
. Earning per share is
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