Question

Company X had a beginning inventory at December 31 2019 valued at $811,00 purchased with a 6 month note at 6% due May 2020. The company had a number of purchases during the new year equal to $352,000. The ending inventory count indicated 60 units valued at $493,100. Assume sales of the year was $1,105,000 and the tax rate was 23%. Assume General Administration expenses for the year were $61,000. The company had an extraordinary gain of 49,000.

Prepare an income statement and balance sheet in good form for the X Company. Assume that there are 350,000 common shares outstanding at year-end, 85,000 shares were issued April 15, valued at $12 and 100,00 were issued on September 30 valued at $14. The beginning balance was valued at $10 per share. There were 5,000 preferred shareholders who contributed $2,000,000 to earn 8% per year. Npn participating.

Answer 1

the balance sheet can't be prepare with this information. It required more information like value of cash and other assets.

Nor king. Notes Opening Inventory Puschare Closing Inventory Tan @ 23% Genesal Administration Emp Fatra ordinary Grain Sales 3.5 2006 49 3100 105,000 61 000 49 006 Sharee llame issued at April ( 85000 xial = hare Valne issed at septembes 100,000 x 14 to sing No. of share = 350.000 op thing No. of shares 350,000 - (10,000 to $600) - 116900. Value of Opening shares. Ils000 n 10 a Total Talue of shares 10,20,000 7400,000 1150,000 3570,000 20,00,000 8% preference Shares. (s ouo Shares 6% Notes Ponjabile Income Statement for the X SIL. &900 Company Sales Gross Expene puschoene. changes in Inventory Gen. Administrative Eup Interest on Notes operating Protit Addi Entra Ordinary Grain Earning befor Tan. less! Ton @ 237. Earning after Tox ar. Profesence Dilliclend. Retained Earnings 87 1163.000 3 S2000 (49 2289) 61000 24.33 79264-67 1184264.67 49000 Ta33 264.670 283650-87 949613.809 789 67.38