Required information [The following information applies to the questions displayed below.] The following financial statements and additional information are reported. At June 30 Assets Cash IKIBAN INCORPORATED Comparative Balance Sheets 2021 Accounts receivable, net Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities Notes payable (long term) Total liabilities Equity Common stock, $5 par value Retained earnings Total liabilities and equity Sales Cost of goods sold Gross profit Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense Net income Additional Information $ 105,700 69,500 66,800 4,700 IKIBAN INCORPORATED Income Statement For Year Ended June 30, 2021 Choose Numerator: 246,700 127,000 (28,500) $ 345,200 Operating expenses (excluding depreciation) Depreciation expense $ 28,000 6,300 3,700 38,000 33,000 71,000 1 226,000 48,200 $ 345,200 1 1 Cash Flow on Total Assets Ratio Choose Denominator: 2020 = $ 47,000 54,000 91,000 6,000 a. A $30,000 notes payable is retired at its $30,000 carrying (book) value in exchange for cash. b. The only changes affecting retained earnings are net income and cash dividends paid. c. New equipment is acquired for $60,600 cash. = 198,000 118,000 (10,500) $ 305,500 d. Received cash for the sale of equipment that had cost $51,600, yielding a $2,300 gain. e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement. f. All purchases and sales of inventory are on credit. = $ 34,500 15,600 4,400 54,500 63,000 117,500 (2) Compute the company's cash flow on total assets ratio for its fiscal year 2021. 163,000 25,000 $ 305,500 $ 693,000 414,000 279,000 70,000 61,600 147,400 2,300 149,700 44,190 $ 105,510 Cash Flow on Total Assets Ratio Cash flow on total assets ratio
Required information [The following information applies to the questions displayed below.] The following financial statements and additional information are reported. At June 30 Assets Cash IKIBAN INCORPORATED Comparative Balance Sheets 2021 Accounts receivable, net Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities Notes payable (long term) Total liabilities Equity Common stock, $5 par value Retained earnings Total liabilities and equity Sales Cost of goods sold Gross profit Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense Net income Additional Information $ 105,700 69,500 66,800 4,700 IKIBAN INCORPORATED Income Statement For Year Ended June 30, 2021 Choose Numerator: 246,700 127,000 (28,500) $ 345,200 Operating expenses (excluding depreciation) Depreciation expense $ 28,000 6,300 3,700 38,000 33,000 71,000 1 226,000 48,200 $ 345,200 1 1 Cash Flow on Total Assets Ratio Choose Denominator: 2020 = $ 47,000 54,000 91,000 6,000 a. A $30,000 notes payable is retired at its $30,000 carrying (book) value in exchange for cash. b. The only changes affecting retained earnings are net income and cash dividends paid. c. New equipment is acquired for $60,600 cash. = 198,000 118,000 (10,500) $ 305,500 d. Received cash for the sale of equipment that had cost $51,600, yielding a $2,300 gain. e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement. f. All purchases and sales of inventory are on credit. = $ 34,500 15,600 4,400 54,500 63,000 117,500 (2) Compute the company's cash flow on total assets ratio for its fiscal year 2021. 163,000 25,000 $ 305,500 $ 693,000 414,000 279,000 70,000 61,600 147,400 2,300 149,700 44,190 $ 105,510 Cash Flow on Total Assets Ratio Cash flow on total assets ratio
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Urmila ben
![Required information
[The following information applies to the questions displayed below.]
The following financial statements and additional information are reported.
At June 30
Assets
Cash
Accounts receivable, net
Inventory
Prepaid expenses
Total current assets
IKIBAN INCORPORATED
Comparative Balance Sheets
Equipment
Accumulated depreciation-Equipment
Total assets
Liabilities and Equity
Accounts payable
Wages payable
Income taxes payable
Total current liabilities
Notes payable (long term)
Total liabilities
Equity
Common stock, $5 par value
Retained earnings
Total liabilities and equity
Sales
Cost of goods sold
Gross profit
Other gains (losses)
Gain on sale of equipment
Income before taxes
Income taxes expense
Net income
Additional Information
2021
Choose Numerator:
$ 105,700
69,500
66,800
4,700
246,700
127,000
(28,500)
$ 345,200
IKIBAN INCORPORATED
Income Statement
For Year Ended June 30, 2021
$ 28,000
6,300
3,700
Operating expenses (excluding depreciation)
Depreciation expense
38,000
33,000
71,000
1
1
1
226,000
48,200
$ 345,200
Cash Flow on Total Assets Ratio
Choose Denominator:
=
2020
H
$ 47,000
54,000
91,000
6,000
=
198,000
118,000
(10,500)
$ 305,500
a. A $30,000 notes payable is retired at its $30,000 carrying (book) value in exchange for cash.
b. The only changes affecting retained earnings are net income and cash dividends paid.
c. New equipment is acquired for $60,600 cash.
d. Received cash for the sale of equipment that had cost $51,600, yielding a $2,300 gain.
e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement.
f. All purchases and sales of inventory are on credit.
$ 34,500
15,600
4,400
54,500
63,000
117,500
(2) Compute the company's cash flow on total assets ratio for its fiscal year 2021.
163,000
25,000
$ 305,500
$693,000
414,000
279,000
70,000
61,600
147,400
2,300
149,700
44,190
$ 105,510
O Cash Flow on Total Assets Ratio
Cash flow on total assets ratio](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F57a90ca0-8d8d-4985-9d09-2b90b1c5bac3%2F6ca9ae66-1c5c-4893-8d65-85a0b818cc88%2Fd549n44_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
The following financial statements and additional information are reported.
At June 30
Assets
Cash
Accounts receivable, net
Inventory
Prepaid expenses
Total current assets
IKIBAN INCORPORATED
Comparative Balance Sheets
Equipment
Accumulated depreciation-Equipment
Total assets
Liabilities and Equity
Accounts payable
Wages payable
Income taxes payable
Total current liabilities
Notes payable (long term)
Total liabilities
Equity
Common stock, $5 par value
Retained earnings
Total liabilities and equity
Sales
Cost of goods sold
Gross profit
Other gains (losses)
Gain on sale of equipment
Income before taxes
Income taxes expense
Net income
Additional Information
2021
Choose Numerator:
$ 105,700
69,500
66,800
4,700
246,700
127,000
(28,500)
$ 345,200
IKIBAN INCORPORATED
Income Statement
For Year Ended June 30, 2021
$ 28,000
6,300
3,700
Operating expenses (excluding depreciation)
Depreciation expense
38,000
33,000
71,000
1
1
1
226,000
48,200
$ 345,200
Cash Flow on Total Assets Ratio
Choose Denominator:
=
2020
H
$ 47,000
54,000
91,000
6,000
=
198,000
118,000
(10,500)
$ 305,500
a. A $30,000 notes payable is retired at its $30,000 carrying (book) value in exchange for cash.
b. The only changes affecting retained earnings are net income and cash dividends paid.
c. New equipment is acquired for $60,600 cash.
d. Received cash for the sale of equipment that had cost $51,600, yielding a $2,300 gain.
e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement.
f. All purchases and sales of inventory are on credit.
$ 34,500
15,600
4,400
54,500
63,000
117,500
(2) Compute the company's cash flow on total assets ratio for its fiscal year 2021.
163,000
25,000
$ 305,500
$693,000
414,000
279,000
70,000
61,600
147,400
2,300
149,700
44,190
$ 105,510
O Cash Flow on Total Assets Ratio
Cash flow on total assets ratio
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