Southwest Company Balance Sheet and Income Statement For the Years Ending December 31, 2020 and 2019 2020 2019 Current Assets Cash $13,000 $? Accounts Receivable 19.000 25.000 Inventory 32,000 28,000 Total Current Assets 64,000 62,800 Fixed Assets 102,000 92,000 Less: Accum. Depreciation (39,000) (36,000) TOTAL ASSETS $127,000 $118.800 Current Liabilities Accounts Payable Wages Payable Income Tax Payable Total Current Liabilities Long Term Bonds Payable TOTAL LIABILITIES Owner's Equity $15,000 $8.000 4,000 6.000 7,000 6.300 26,000 20.300 28,000 32,000 54,000 52.300 Common Stock ($10 par) 42,000 38.500 31,000 28,000 Retained Earnings TOTAL LIAB. & OWNER'S EQUITY $127,000 $118.800 INCOME STATEMENT Sales (all credit sales) $133,000 $125,000 Less: COGS 60.200 60,200 Gross Margin 72,800 64,800 Less: Operating Expenses 47,600 43,400 Loss on Sale of Fixed Assets 1,400 0 Net Income Before Taxes 23,800 21,400 Less: Income Taxes 9,800 8.400 NET INCOME $14,000 $13,000 ADDITIONAL INFORMATION: Sold a fixed asset with an original cost of $13,000 and accumulated depreciation of $10,000 and purchased a new fixed asset for cash. Cash Flow from Operations in 2020 is: Select one: a. $35,400 x b. $36,100 c. $38,200 d. $34,700
Southwest Company Balance Sheet and Income Statement For the Years Ending December 31, 2020 and 2019 2020 2019 Current Assets Cash $13,000 $? Accounts Receivable 19.000 25.000 Inventory 32,000 28,000 Total Current Assets 64,000 62,800 Fixed Assets 102,000 92,000 Less: Accum. Depreciation (39,000) (36,000) TOTAL ASSETS $127,000 $118.800 Current Liabilities Accounts Payable Wages Payable Income Tax Payable Total Current Liabilities Long Term Bonds Payable TOTAL LIABILITIES Owner's Equity $15,000 $8.000 4,000 6.000 7,000 6.300 26,000 20.300 28,000 32,000 54,000 52.300 Common Stock ($10 par) 42,000 38.500 31,000 28,000 Retained Earnings TOTAL LIAB. & OWNER'S EQUITY $127,000 $118.800 INCOME STATEMENT Sales (all credit sales) $133,000 $125,000 Less: COGS 60.200 60,200 Gross Margin 72,800 64,800 Less: Operating Expenses 47,600 43,400 Loss on Sale of Fixed Assets 1,400 0 Net Income Before Taxes 23,800 21,400 Less: Income Taxes 9,800 8.400 NET INCOME $14,000 $13,000 ADDITIONAL INFORMATION: Sold a fixed asset with an original cost of $13,000 and accumulated depreciation of $10,000 and purchased a new fixed asset for cash. Cash Flow from Operations in 2020 is: Select one: a. $35,400 x b. $36,100 c. $38,200 d. $34,700
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter12: Intangibles
Section: Chapter Questions
Problem 10MC
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Question
A7
![Southwest Company
Balance Sheet and Income Statement
For the Years Ending December 31, 2020 and 2019
2020
2019
Current Assets
Cash
$13,000
$?
Accounts Receivable
19.000 25.000
Inventory
32,000
28,000
Total Current Assets
64,000 62,800
Fixed Assets
102,000 92,000
Less: Accum. Depreciation
(39,000) (36,000)
TOTAL ASSETS
$127,000 $118.800
Current Liabilities
Accounts Payable
Wages Payable
Income Tax Payable
Total Current Liabilities
Long Term Bonds Payable
TOTAL LIABILITIES
Owner's Equity
$15,000 $8.000
4,000
6.000
7,000
6.300
26,000 20.300
28,000 32,000
54,000 52.300
Common Stock ($10 par)
42,000 38.500
31,000 28,000
Retained Earnings
TOTAL LIAB. & OWNER'S EQUITY $127,000 $118.800
INCOME STATEMENT
Sales (all credit sales)
$133,000 $125,000
Less: COGS
60.200 60,200
Gross Margin
72,800 64,800
Less: Operating Expenses
47,600 43,400
Loss on Sale of Fixed Assets
1,400
0
Net Income Before Taxes
23,800
21,400
Less: Income Taxes
9,800
8.400
NET INCOME
$14,000 $13,000
ADDITIONAL INFORMATION: Sold a fixed asset with an original cost of $13,000 and accumulated depreciation of $10,000 and purchased a new fixed asset for cash.
Cash Flow from Operations in 2020 is:
Select one:
a. $35,400 x
b. $36,100
c. $38,200
d. $34,700](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa7058b60-8e2a-49e3-948d-db0c8840f4dd%2F84845f9f-bedc-4439-8d4a-228cc37e7412%2F8g6pv7b_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Southwest Company
Balance Sheet and Income Statement
For the Years Ending December 31, 2020 and 2019
2020
2019
Current Assets
Cash
$13,000
$?
Accounts Receivable
19.000 25.000
Inventory
32,000
28,000
Total Current Assets
64,000 62,800
Fixed Assets
102,000 92,000
Less: Accum. Depreciation
(39,000) (36,000)
TOTAL ASSETS
$127,000 $118.800
Current Liabilities
Accounts Payable
Wages Payable
Income Tax Payable
Total Current Liabilities
Long Term Bonds Payable
TOTAL LIABILITIES
Owner's Equity
$15,000 $8.000
4,000
6.000
7,000
6.300
26,000 20.300
28,000 32,000
54,000 52.300
Common Stock ($10 par)
42,000 38.500
31,000 28,000
Retained Earnings
TOTAL LIAB. & OWNER'S EQUITY $127,000 $118.800
INCOME STATEMENT
Sales (all credit sales)
$133,000 $125,000
Less: COGS
60.200 60,200
Gross Margin
72,800 64,800
Less: Operating Expenses
47,600 43,400
Loss on Sale of Fixed Assets
1,400
0
Net Income Before Taxes
23,800
21,400
Less: Income Taxes
9,800
8.400
NET INCOME
$14,000 $13,000
ADDITIONAL INFORMATION: Sold a fixed asset with an original cost of $13,000 and accumulated depreciation of $10,000 and purchased a new fixed asset for cash.
Cash Flow from Operations in 2020 is:
Select one:
a. $35,400 x
b. $36,100
c. $38,200
d. $34,700
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