Rochester Flour Mills purchased new equipment and made the following expenditures: Purchase price Sales tax $ 59,000 5,200 Shipment of equipment 840 Insurance on the equipment for the first year Installation of equipment 540 1,680 Required: Determine the financial statement effects of the above expenditures for the new equipment. All expenditures were paid in cash. Note: Amounts to be deducted should be indicated by a minus sign. Assets Balance Sheet Liabilities Stockholders' Equity Common Stock Retained Earnings Revenues Income Statement Net Expenses Income
Rochester Flour Mills purchased new equipment and made the following expenditures: Purchase price Sales tax $ 59,000 5,200 Shipment of equipment 840 Insurance on the equipment for the first year Installation of equipment 540 1,680 Required: Determine the financial statement effects of the above expenditures for the new equipment. All expenditures were paid in cash. Note: Amounts to be deducted should be indicated by a minus sign. Assets Balance Sheet Liabilities Stockholders' Equity Common Stock Retained Earnings Revenues Income Statement Net Expenses Income
Financial Accounting Intro Concepts Meth/Uses
14th Edition
ISBN:9781285595047
Author:Weil
Publisher:Weil
Chapter6: Statement Of Cash Flows
Section: Chapter Questions
Problem 25E
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![Rochester Flour Mills purchased new equipment and made the following expenditures:
Purchase price
Sales tax
Shipment of equipment
Insurance on the equipment for the first year
Installation of equipment
Required:
$ 59,000
5,200
840
540
1,680
Determine the financial statement effects of the above expenditures for the new equipment. All expenditures were paid in cash.
Note: Amounts to be deducted should be indicated by a minus sign.
Assets
Balance Sheet
Liabilities
Stockholders' Equity
Common Retained
Stock Earnings
Revenues
Income Statement
Net
Expenses
Income](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F98a95248-6313-4124-8c48-8cf374831d55%2Fa75882e7-79b9-449b-9d0c-7d287b2e55c7%2Fvzmrtj7_processed.png&w=3840&q=75)
Transcribed Image Text:Rochester Flour Mills purchased new equipment and made the following expenditures:
Purchase price
Sales tax
Shipment of equipment
Insurance on the equipment for the first year
Installation of equipment
Required:
$ 59,000
5,200
840
540
1,680
Determine the financial statement effects of the above expenditures for the new equipment. All expenditures were paid in cash.
Note: Amounts to be deducted should be indicated by a minus sign.
Assets
Balance Sheet
Liabilities
Stockholders' Equity
Common Retained
Stock Earnings
Revenues
Income Statement
Net
Expenses
Income
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