Homework Help is Here – Start Your Trial Now!
Business
Accounting
The following financial statements and additional information are reported. IKIBAN INc. Comparative Balance Sheets June 30, 2019 and 2018 2019 2018 Assets $ 59,000 $ 98,500 87,500 78,800 5,900 270,700 139,000 (34,500) Cash Accounts receivable, net Inventory Prepaid expenses 66,000 109,000 8,400 242,400 130,000 (16,500) $355,900 Total current assets Equipment Accum. depreciation-Equipment Total assets $375,200 Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities $ 40,000 7,500 4,900 $ 52,500 18,000 6,800 Notes payable (long term) Total liabilities 52,400 45,000 97,400 77,300 75,000 152,300 Equity Common stock, $5 par value Retained earnings 250,000 27,800 175,000 28,600 $375,200 $355,900 Total liabilities and equity IKIBAN INC. Income Statement For Year Ended June 30, 2019 $753,000 426,000 Sales Cost of goods sold 327,000

The following financial statements and additional information are reported. IKIBAN INc. Comparative Balance Sheets June 30, 2019 and 2018 2019 2018 Assets $ 59,000 $ 98,500 87,500 78,800 5,900 270,700 139,000 (34,500) Cash Accounts receivable, net Inventory Prepaid expenses 66,000 109,000 8,400 242,400 130,000 (16,500) $355,900 Total current assets Equipment Accum. depreciation-Equipment Total assets $375,200 Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities $ 40,000 7,500 4,900 $ 52,500 18,000 6,800 Notes payable (long term) Total liabilities 52,400 45,000 97,400 77,300 75,000 152,300 Equity Common stock, $5 par value Retained earnings 250,000 27,800 175,000 28,600 $375,200 $355,900 Total liabilities and equity IKIBAN INC. Income Statement For Year Ended June 30, 2019 $753,000 426,000 Sales Cost of goods sold 327,000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

Can you please check my work

The following financial statements and additional information are reported. IKIBAN INC. Comparative Balance Sheets June 30, 2019 and 2018 2019 2018 Assets $ 98,500 87,500 78,800 5,900 270,700 139,000 (34,500) $ 59,000 66,000 109,000 8,400 242,400 130,000 (16,500) Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Equipment Accum. depreciation-Equipment Total assets $375,200 $355,900 Liabilities and Equity Accounts payable Wages payable Income taxes payable $ 40,000 7,500 4,900 52,400 45,000 97,400 $ 52,500 18,000 6,800 Total current liabilities 77,300 75,000 152,300 Notes payable (long term) Total liabilities Equity Common stock, $5 par value Retained earnings 250,000 175,000 27,800 28,600 $375,200 $355,900 Total liabilities and equity IKIBAN INC. Income Statement For Year Ended June 30, 2019 $753,000 426,000 327,000 Sales Cost of goods sold Gross profit
Transcribed Image Text:The following financial statements and additional information are reported. IKIBAN INC. Comparative Balance Sheets June 30, 2019 and 2018 2019 2018 Assets $ 98,500 87,500 78,800 5,900 270,700 139,000 (34,500) $ 59,000 66,000 109,000 8,400 242,400 130,000 (16,500) Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Equipment Accum. depreciation-Equipment Total assets $375,200 $355,900 Liabilities and Equity Accounts payable Wages payable Income taxes payable $ 40,000 7,500 4,900 52,400 45,000 97,400 $ 52,500 18,000 6,800 Total current liabilities 77,300 75,000 152,300 Notes payable (long term) Total liabilities Equity Common stock, $5 par value Retained earnings 250,000 175,000 27,800 28,600 $375,200 $355,900 Total liabilities and equity IKIBAN INC. Income Statement For Year Ended June 30, 2019 $753,000 426,000 327,000 Sales Cost of goods sold Gross profit
Operating expenses Depreciation expense Other expenses $73,600 82,000 Total operating expenses 155,600 171,400 Other gains (losses) Gain on sale of equipment 3,500 174,900 45,390 Income before taxes Income taxes expense Net income $129,510 Additional Information a. A $30,000 note 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 $72,600 cash. d. Received cash for the sale of equipment that had cost $63,600, yielding a $3,500 gain. e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement. f. All purchases and sales of inventory are on credit. (2) Compute the company's cash flow on total assets ratio for its fiscal year 2019. Cash Flow on Total Assets Ratio Choose Denominator: Cash Flow on Total Assets Ratio %3D Choose Numerator: Cash flow on total assets ratio Operating cash flows Average total assets 338,750 49.4% 167,510
Transcribed Image Text:Operating expenses Depreciation expense Other expenses $73,600 82,000 Total operating expenses 155,600 171,400 Other gains (losses) Gain on sale of equipment 3,500 174,900 45,390 Income before taxes Income taxes expense Net income $129,510 Additional Information a. A $30,000 note 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 $72,600 cash. d. Received cash for the sale of equipment that had cost $63,600, yielding a $3,500 gain. e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement. f. All purchases and sales of inventory are on credit. (2) Compute the company's cash flow on total assets ratio for its fiscal year 2019. Cash Flow on Total Assets Ratio Choose Denominator: Cash Flow on Total Assets Ratio %3D Choose Numerator: Cash flow on total assets ratio Operating cash flows Average total assets 338,750 49.4% 167,510
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps with 2 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Personal Financial Statements
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS