Question

One item is omitted in each of the following summaries of balance sheet and income statement data for the following four different corporations.
Enter the missing amounts. (Hint: First determine the amount of increase or decrease in stockholders' equity during the year.)

Freeman Heyward Jones Ramirez Beginning of the year: Assets Liabilities End of the year: Assets Liabilities During the year: Additional issuance of capital stock Dividends Revenue Expenses $340,600 177,100 $291,100 $128,100 97,400 174,700 $163,800 361,000 157,200 476,800 338,400 185,600 115,300 149,900 102,500 64,000 V 20,400 96,200 52,400 68,100 54,600 80,100 152,900 174,700 12,800 20,400 147,400 157,600 88,600

Answer 1

Freeman:

Equity, beginning of the year = Assets, beginning of the year - Liabilities, beginning of the year
Equity, beginning of the year = $291,100 - $174,700
Equity, beginning of the year = $116,400

Equity, end of the year = Assets, end of the year - Liabilities, end of the year
Equity, end of the year = $361,000 - $157,200
Equity, end of the year = $203,800

Change in equity = Equity, end of the year - Equity, beginning of the year
Change in equity = $203,800 - $116,400
Change in equity = $87,400

Change in equity = Additional issuance of capital stock - Dividends + Revenue - Expenses
$87,400 = Additional issuance of capital stock - $20,400 + $96,200 - $52,400
Additional issuance of capital stock = $64,000

Heyward:

Equity, beginning of the year = Assets, beginning of the year - Liabilities, beginning of the year
Equity, beginning of the year = $340,600 - $177,100
Equity, beginning of the year = $163,500

Equity, end of the year = Assets, end of the year - Liabilities, end of the year
Equity, end of the year = $476,800 - $149,900
Equity, end of the year = $326,900

Change in equity = Equity, end of the year - Equity, beginning of the year
Change in equity = $326,900 - $163,500
Change in equity = $163,400

Change in equity = Additional issuance of capital stock - Dividends + Revenue - Expenses
$163,400 = $68,100 - $20,400 + Revenue - $88,600
Revenue = $204,300

Jones:

Equity, beginning of the year = Assets, beginning of the year - Liabilities, beginning of the year
Equity, beginning of the year = $128,100 - $97,400
Equity, beginning of the year = $30,700

Equity, end of the year = Assets, end of the year - Liabilities, end of the year
Equity, end of the year = $115,300 - $102,500
Equity, end of the year = $12,800

Change in equity = Equity, end of the year - Equity, beginning of the year
Change in equity = $12,800 - $30,700
Change in equity = -$17,900

Change in equity = Additional issuance of capital stock - Dividends + Revenue - Expenses
-$17,900 = $12,800 - Dividends + $147,400 - $157,600
Dividends = $20,500

Ramirez:

Change in equity = Additional issuance of capital stock - Dividends + Revenue - Expenses
Change in equity = $54,600 - $80,100 + $152,900 - $174,700
Change in equity = -$47,300

Equity, end of the year = Assets, end of the year - Liabilities, end of the year
Equity, end of the year = $338,400 - $185,600
Equity, end of the year = $152,800

Change in equity = Equity, end of the year - Equity, beginning of the year
-$47,300 = $152,800 - Equity, beginning of the year
Equity, beginning of the year = $200,100

Equity, beginning of the year = Assets, beginning of the year - Liabilities, beginning of the year
$200,100 = Assets, beginning of the year - $163,800
Assets, beginning of the year = $363,900