XYZ Corp. was incorporated three years ago by issuing 8,000 shares of common stock at $300 each and borrowing $180,000 from a bank on a long- term note. Last year, XYZ reported net income of $55,000 and paid a cash dividend of $2,500. Last year, the company also borrowed an additional $250,000 from the bank. What was the total assets on XYZ's balance sheet at the end of the year last year? a. $2,882,500 b. $2,885,000 c. $2,830,000 d. None of these

XYZ Corp. was incorporated three years ago by issuing 8,000 shares of common stock at $300 each and borrowing $180,000 from a bank on a long- term note. Last year, XYZ reported net income of $55,000 and paid a cash dividend of $2,500. Last year, the company also borrowed an additional $250,000 from the bank. What was the total assets on XYZ's balance sheet at the end of the year last year? a. $2,882,500 b. $2,885,000 c. $2,830,000 d. None of these

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter2: The Domestic And International Financial Marketplace

Section2.A: Taxes

Problem 1P

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