Pearl Company's income statement for the year ended December 31, 2017, contained the following condensed information. Service revenue Operating expenses (excluding depreciation) Depreciation expense Loss on sale of equipment Income before income taxes Income tax expense Net income $624,000 Accounts receivable Accounts payable Income taxes payable 59,000 25,000 2017 $841,000. $35,000 41,000 3,800 708,000 133,000 Pearl's balance sheet contained the following comparative data at December 31. 40,000 $93,000 2016 $53,000 31,000 8,000 (Accounts payable pertains to operating expenses.) Prepare the operating activities section of the statement of cash flows using the direct method. PEARL COMPANY Statement of Cash Flows (Partial) + # $

Pearl Company's income statement for the year ended December 31, 2017, contained the following condensed information. Service revenue Operating expenses (excluding depreciation) Depreciation expense Loss on sale of equipment Income before income taxes Income tax expense Net income $624,000 Accounts receivable Accounts payable Income taxes payable 59,000 25,000 2017 $841,000. $35,000 41,000 3,800 708,000 133,000 Pearl's balance sheet contained the following comparative data at December 31. 40,000 $93,000 2016 $53,000 31,000 8,000 (Accounts payable pertains to operating expenses.) Prepare the operating activities section of the statement of cash flows using the direct method. PEARL COMPANY Statement of Cash Flows (Partial) + # $

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter5: Inventories And Cost Of Goods Sold

Section: Chapter Questions

Problem 5.21MCE

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Sage Company's income statement for the year ended December 31, 2020, contained the following condensed information. Service revenue $848,000 Operating expenses (excluding depreciation) Depreciation expense Loss on sale of equipment Income before income taxes $628,000 61,000 26,000 715,000 133,000 Income tax expense 40,000 $93.000 Net income Sage's balance sheet contained the following comparative data at December 31. 2020 2019 Accounts receivable $37.00 $52,000 Accounts payable 39.000 32,000 Income taxes payable 4,000 8.400 (Accounts payable pertains to operating expenses.) Prepare the operating activities section of the statement of cash flows using the direct method. SAGE COMPANY Statement of Cash Flows (Partial) 24 %24 >
PARNELL COMPANY Income Statement For the Year Ended December 31, 2021 ($ in thousands) Revenues and gains: Sales Gain on sale of building Expenses and loss: Cost of goods sold Salaries $890 11 $901 $345 129 Insurance 53 Depreciation Interest expense Loss on sale of equipment 132 59 13 731 170 Income before tax Income tax expense 85 Net income $ 85 PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) Year 2020 Change 2021 $ 152 Cash 91 61 Accounts receivable Inventory Prepaid insurance Accounts payable Salaries payable Deferred tax liability Bond discount 342 207 135 312 443 (131) (49) 120 36 57 106 228 108 120 78 84 61 218 17 181 (37)
Company presents the following selected general ledger accountsshowing balances at October 1, 2017: CashFinished GoodsWork in ProcessRaw materialsPrepaid Insurance Accumulated Depreciation Accounts PayableBalances at October 31, 2017 include: Accrued payrollFinished goodsWork in ProcessRaw MaterialsP 40,000 592,000 164,000 128,0004,000 280,000 108,000P 12,000 608,000 188,000 120,000 A summary of transactions for the month of October follows: a. Cash salesb. Raw materials purchased on account c. Direct materials usedd. Direct Labore. Factory insurance expiredf. Depreciation for factory equipment g. Factory utility service on accounth. Accounts payable paidi. Factory payroll paidP420,000 168,000 156,00064,000 1,200 6,80012,000 196,000 88,000Required: Indirect materials used.Indirect laborTotal factory overhead Cost of goods manufa
The statement of income for Pembina Ltd. is shown below: Sales Cost of goods sold Gross profit PEMBINA LTD. Statement of Income Year Ended December 31 (in millions) Operating expenses Income from operations Interest expense Income before income tax Income tax expense Net income 2021 $1,610 908 702 525 177 80 97 25 $72 2020 $1,410 744 PEMBINA LTD. Horizontal Analysis of Statement of Income (% of base-year amount) Year Ended December 31 666 407 259 50 209 52 $157 2019 $1,194 598 596 397 199 40 159 40 $119 Using horizontal analysis, calculate the horizontal percentage of a base-year amount, assuming 2019 is the base year. (Round answers to 1 decimal place, e.g. 5.2%. Enter negative amounts using either a negative sign preceding the number e.g. -45.1% or parentheses e.g. (45.1)%.)
Wildhorse Co. Income Statement For the Year Ended December 31, 2022 Service revenue Operating expenses, excluding depreciation $624,100 Depreciation expense 55,400 Loss on disposal of plant assets 25.200 Income before income taxes Income tax expense Net income 2021 $59,800 28,900 6,400 $970,400 Wildhorse's balance sheets contained the following comparative data at December 31. 2022 Accounts receivable $75,200 Accounts payable 40,400 Income taxes payable 13,000 704,700 265,700 39,100 $226,600 Adjustments to reconcile net income to Accounts payable pertain to operating expenses. Prepare the operating activities section of the statement of cash flows using the Indirect method. (Show amounts that decrease cash flow with either a sign e.g.-15.000 or in parenthesis e.g. (15,000).) Wildhorse Co. Partial Statement of Cash Flows
Here are simplified financial statements for Watervan Corporation: INCOME STATEΜΕNT (Figures in $ millions) Net sales $884.00 Cost of goods sold Depreciation Earnings before interest and taxes (EBIT) Interest expense 744.00 34.00 $106.00 15.00 Income before tax $ 91.00 Тахes 19.11 Net income $ 71.89 BALANCE SHEET (Figures in $ millions) End of Start Year of Year Assets Current assets $ 372 $ 318 Long-term assets 264 225 Total assets $ 636 $ 543 Liabilities and shareholders' equity Current liabilities $ 197 $ 160 Long-term debt Shareholders' equity 111 124 328 259 Total liabilities and shareholders' equity $ 636 $ 543 The company's cost of capital is 8.5%. a. Calculate Watervan's economic value added (EVA). (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.) b. What is the company's return on capital? (Use start-of-year rather than average capital.) (Do not round intermediate calculations. Enter your answer as a percent rounded to 2…
The following information is available for Sunland Corporation for the year ended December 31, 2022: sales revenue $840,000, other revenues and gains $91,000, operating expenses $101,000, cost of goods sold $466,000, other expenses and losses $30,500, and preferred stock dividends $40,950. The company's tax rate was 20%, and it had 70,000 common shares outstanding during the entire year. (a) Your Answer Correct Answer Your answer is partially correct. Prepare a corporate income statement. (List other revenues before other expenses.)
The comparative statement of financial position for Cullumber Corporation shows the following noncash current asset and liability accounts at March 31: 2018 2017 Accounts receivable $61,000 $43,000 Inventory 70,000 64,000 Accounts payable 35,000 43,000 Dividends payable 1,400 2,300 Cullumber’s income statement reported the following selected information for the year ended March 31, 2018: net income was $280,000, depreciation expense was $60,000, and a loss on the disposal of land was $18,000. Cullumber uses a perpetual inventory system. Calculate net cash provided (used) by operating activities using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) CULLUMBER CORPORATIONStatement of Cash Flows (Partial)-Indirect Method Operating activities…
Flint Company’s income statement for the year ended December 31, 2020, contained the following condensed information. Service revenue $839,000 Operating expenses (excluding depreciation) $624,000 Depreciation expense 60,000 Loss on sale of equipment 26,000 710,000 Income before income taxes 129,000 Income tax expense 39,000 Net income $90,000 Flint’s balance sheet contained the following comparative data at December 31. 2020 2019 Accounts receivable $39,000 $53,000 Accounts payable 40,000 32,000 Income taxes payable 4,200 8,300 (Accounts payable pertains to operating expenses.)Prepare the operating activities section of the statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) FLINT COMPANYStatement of Cash Flows (Partial)…
Riverbed Company's income statement for the year ended December 31, 2025, contained the following condensed information. Service revenue Operating expenses (excluding depreciation) Depreciation expense Loss on sale of equipment Income before income taxes Income tax expense Net income 2025 2024 $622,000 counts receivable $38,000 $53,000 59,000 25,000 $848,000 706,000 142,000 Riverbed's balance sheet contained the following comparative data at December 31. 40,000 $102,000
Ee.68.
Computing NOPAT, NOPM and RNOA Selected information from the financial statements of GoPro, Inc. is provided below: ($ thousands) Revenue Operating income Net interest expense and other nonoperating expense Net income Operating assets Operating liabilities 2014 $ 121,573 2013 $ 64,157 Assume a statutory tax rate of 35%. a. Compute GoPro's net operating profit after taxes (NOPAT) for 2014 and 2013. Round answers to the nearest whole number. 2014 2013 2014 2013 $1,392,450 $984,725 b. Compute GoPro's net operating profit margin (NOPM) for each year. Round answers to one decimal place. (Ex: 0.2345 = 23.5%) 8.7% 6.5 % 187,035 98,703 6,032 7,357 125,888 60,758 815,643 439,716 276,487 254,227 33.6% c. Compute GoPro's return on net operating assets (RNOA) for 2014. Round answers to one decimal place. (Ex: 0.2345 = 23.5%) 2014