Answers
Solution:
1) Cole Valley Book Store
Balance Sheet
| Assets | $ | Liabilities | $ |
| Cash | 75600 | Accounts Payable | 12000 |
| Accounts receivable | 39000 | Notes payable | 3000 |
| Store & office equipment | 73000 | Interest payable | 300 |
| Total liabilities | 15300 | ||
| Stockholders' Equity: | |||
| Common Stock | 160000 | ||
| Retained Earnings | 12300 | ||
| Total Stockholder's Equity | 172300 | ||
| 187600 | Total Liabilities & Stockholders' Equity | 187600 |
Notes:
a) Data for balances at December end is provided in the question. Accordingly balance for cash, accounts receivable, Accounts payable, Store & office equipment, Notes payable, are accounted for.
b) Common stock = Capital contributed by each partner for receiving common stock = $8000 x 2 = $160000.
2) Beginning Retained Earnings + Net Income - Dividend = Ending Retained Earnings
Net Income = Ending Retained Earnings - Beginning Retained Earnings + Dividend
= $12300 + 0 + 0 = $12300
Therefore Net income for the year is $12300.
.Similar Solved Questions
1 answer
Problem 6-5 (Part Level Submission) Julia Baker died, leaving to her husband John an insurance policy...
Problem 6-5 (Part Level Submission) Julia Baker died, leaving to her husband John an insurance policy contract that provides that the beneficiary (John) can choose any one of the following four options. Money is worth 2.50% per quarter, compounded quarterly. Compute Present value if: Click here to v...
1 answer
A consumer is given the chance to buy a concert ticket for $50 and refuses. Later,...
A consumer is given the chance to buy a concert ticket for $50 and refuses. Later, that same consumer wins a free ticket to the concert. When asked to sell that ticket for $50, the consumer refuses, indicating that he would rather use the ticket himself. This is an example of A) irrational behavior....
1 answer
The stockholders' equity accounts of Riverbed Company have the following balances on December 31, 2020. Common...
The stockholders' equity accounts of Riverbed Company have the following balances on December 31, 2020. Common stock, $10 par, 323,000 shares issued and outstanding $3,230,000 Paid-in capital in excess of par-common stock 1,250,000 Retained earnings 5,590,000 Shares of Riverbed Company stock are...
1 answer
Exercise 1.17 A pipe with a diameter of 10 cm is surrounded by a sheet-metal clad insulation of 20 cm mineral wool (A = 0,045 W/m K). a) What is the heat loss per meter of pipe when the pipe is 9...
Exercise 1.17 A pipe with a diameter of 10 cm is surrounded by a sheet-metal clad insulation of 20 cm mineral wool (A = 0,045 W/m K). a) What is the heat loss per meter of pipe when the pipe is 90 C warm and the sheet metal sheath of the insulation shows 40 °C? b) In a section of track, the insu...
1 answer
Help System Announcements complete the cost or goous manuractured scheduie ror Cepeda Manuracturing company. CEPEDA MANUFACTURING...
Help System Announcements complete the cost or goous manuractured scheduie ror Cepeda Manuracturing company. CEPEDA MANUFACTURING COMPANY Cost of Goods Manufactured Schedule For the Year Ended December 31, 2020 Work in process (1/1) Direct materials $217,000 Raw materials inventory, (1/1) Raw materi...
1 answer
The financial statements of China Chance Company appear below: China Chance Company Income Statement For the...
The financial statements of China Chance Company appear below: China Chance Company Income Statement For the Year Ended December 31, 2018 wan OLO Sales Cost of mods sold Cross profit Depreciation expense Other operating expenses Profit from operations Interest expense Phot before income taxe Income ...
1 answer
Suppose that both A, B ⊆ {0, 1}* are regular languages. Show that the language A...
Suppose that both A, B ⊆ {0, 1}* are regular languages. Show that the language A \ B = { x | x ∈ A, x ∉ B} is regular. Please explain your reasoning so I can understand and use it for future problems!...
1 answer
The following facts pertain to a noncancelable lease agreement between Pharoah Leasing Company and Novak Company,...
The following facts pertain to a noncancelable lease agreement between Pharoah Leasing Company and Novak Company, a lessee. Inception date: May 1, 2017 Annual lease payment due at the beginning of each year, beginning with May 1, 2017 $18,727.72 Bargain-purchase opt...
1 answer
A six-lane freeway (three lanes in each direction) in rolling terrain has 10-ft lanes and obstructions...
A six-lane freeway (three lanes in each direction) in rolling terrain has 10-ft lanes and obstructions 4 ft from the right edge of the pavement. There are 4 ramps within 6 miles. A directional peak-hour volume of 4500 veh/h is observed, with 1250 vehicles arriving in the highest 15-min flow rate per...
1 answer
Computing the amount of investment income and preparing [U] consolidation entries-Cost method Assume that a wholly...
Computing the amount of investment income and preparing [U] consolidation entries-Cost method Assume that a wholly owned subsidiary sells inventory to the parent company. The parent company, ultimately, sells the inventory to customers outside of the consolidated group. You have compiled the followi...
1 answer
Section 3: Personal Interests (2-4 sentences) What do you like to do with your spare time?...
Section 3: Personal Interests (2-4 sentences) What do you like to do with your spare time? What kinds of books/movies do you enjoy? Where have you travelled in your lifetime or where have you lived? Feel free to share information about your family if you are comfortable....
1 answer
Mass Spectrometry (not shown): [M] = 134 m/z Infrared Spectroscopy (not shown): 3073, 2924, 1714, cm...
Mass Spectrometry (not shown): [M] = 134 m/z Infrared Spectroscopy (not shown): 3073, 2924, 1714, cm 'H Nuclear Magnetic Resonance. PPM 2н c Nuclear Magnetic Resonance. 220 .200 . 180 . 160 .140 . 120 100 . 80 . 60 . 40...
1 answer
Solve in R Which of the following command correctly sorts the data frame by School in...
solve in R Which of the following command correctly sorts the data frame by School in descending order and Expression in ascending order? a. painterABC [order (-xtfrm (painterABC$School), painterABC$Expression), ] b.painterABC [order(-painterABC$School, painterABC$Expression), ] c. painterABC [o...
1 answer
O Question 19 2 s Ally Gator has an IRA with a current balance of 532.500....
O Question 19 2 s Ally Gator has an IRA with a current balance of 532.500. Ally plans to continue depositing ST.000 which earns 8%. After 40 years, what will the balance of Ally's IRA be? y who is $3,225,490 $2,519.443 $1,813,396 $ 706,047...
1 answer
Kindly help with question 12-24 step by step by hand. thanks 444 CHAPTER 12: INCOME TAXES...
kindly help with question 12-24 step by step by hand. thanks 444 CHAPTER 12: INCOME TAXES FOR CORPORATIONS Contribute net present worth of this investment.com Mukasa Ssemakula, Wayne State Univ 12-25 A firm has invested $400,000 in ment. They will depreciate the eau bonus depreciation with the balan...