Rubiks Company provided the following information at year-end:Cash and cash equivalents500,000Accounts receivable, net of allowance P100,0002,000,000InventoryProperty, plant and equipment at carrying amountAccounts payableWages payableShare capitalShare premium6,000,00012,000,0004,400,0001,500,0006,000,0004,000,000The only asset not listed is short-term investment.The only liabilities not listed are a P3,000,000 note payable due in two years and related accrued interest of P100,000due in four months.The current ratio at year-end is 1.5 to 1.00.4. What is the balance of retained earnings at year-end?

As per accounting equation of the business, total assets must be equal to total liabilities and…

Rubiks Company provided the following information at year-end: Cash and cash equivalents Accounts receivable, net of allowance P100,000 Inventory 500,000 2,000,000 6,000,000 Property, plant and equipment at carrying amount Accounts payable Wages payable Share capital Share premium 12,000,000 4,400,000 1,500,000 6,000,000 4,000,000 The only asset not listed is short-term investment. The only liabilities not listed are a P3,000,000 note payable due in two years and related accrued interest of P100,000 due in four months. The current ratio at year-end is 1.5 to 1.00. 4. What is the balance of retained earnings at year-end?

Rubiks Company provided the following information at year-end: Cash and cash equivalents Accounts receivable, net of allowance P100,000 Inventory 500,000 2,000,000 6,000,000 Property, plant and equipment at carrying amount Accounts payable Wages payable Share capital Share premium 12,000,000 4,400,000 1,500,000 6,000,000 4,000,000 The only asset not listed is short-term investment. The only liabilities not listed are a P3,000,000 note payable due in two years and related accrued interest of P100,000 due in four months. The current ratio at year-end is 1.5 to 1.00. 4. What is the balance of retained earnings at year-end?

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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