Question

The balance sheet provides a snapshot of the financial condition of a company. Investors and analysts use the information given on the balance sheet and other financial statements to make several interpretations regarding the company's financial condition and Puzry Button Clothing Company is a hypothetical company. Suppose it has the following balance sheet tems reported at the end of to complete the balance Liablities and eauty Current habities $6,457 Accounts payable so s 2,363 Aceruals $19,687 $15,750 Total current liabilties 19,250 Total debt $8,750 Common equity 21,328 Retained earnings $43,750 in the preceding balance sheet-and assuming that Fuzzy Button Clothing Company has 50 milion shares of O Type here to search

Answer 1

Please provide rating...

	Balance sheet missing figure ..
a	Cash and cash equivalent				=19687-8662-2953
	Total current asset - AR - Inventory				8072
b	Net plant and equipment				=43750-19687
	Total asset - Current asset				24063
c	Total Current liabilities				=0+410+2324
	Account payable+Accruals+Note payable				2734
d	Retained earning				=32813-21328
	Total common equity - Common stock				11485
Statement # 1
	Statement is False : Accruals actually increased from 0 in year 1 to $410 million at the end of year 2.
Statement # 2
	Statement is True :Fuzzy button's retained earning account increased between the end of year 1 and 2
Statement # 3
	Statement is True :the per share book value is calculated by dividing the company's total common equity by the number of outstanding share of common stock.
Q -5	Correct statement is : The company's assets should be listed in the order in which they are to be converted into cash.