Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses.
FORTEN COMPANY Comparative Balance Sheets December 31 |
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Current Year | Prior Year | ||||||||||
Assets | |||||||||||
Cash | $ | 49,800 | $ | 73,500 | |||||||
Accounts receivable | 65,810 | 50,625 | |||||||||
Inventory | 275,656 | 251,800 | |||||||||
Prepaid expenses | 1,250 | 1,875 | |||||||||
Total current assets | 392,516 | 377,800 | |||||||||
Equipment | 157,500 | 108,000 | |||||||||
Accum. depreciation—Equipment | (36,625 | ) | (46,000 | ) | |||||||
Total assets | $ | 513,391 | $ | 439,800 | |||||||
Liabilities and Equity | |||||||||||
Accounts payable | $ | 53,141 | $ | 114,675 | |||||||
Short-term notes payable | 10,000 | 6,000 | |||||||||
Total current liabilities | 63,141 | 120,675 | |||||||||
Long-term notes payable | 65,000 | 48,750 | |||||||||
Total liabilities | 128,141 | 169,425 | |||||||||
Equity | |||||||||||
Common stock, $5 par value | 162,750 | 150,250 | |||||||||
Paid-in capital in excess of par, common stock | 37,500 | 0 | |||||||||
Retained earnings | 185,000 | 120,125 | |||||||||
Total liabilities and equity | $ | 513,391 | $ | 439,800 | |||||||
FORTEN COMPANY Income Statement For Current Year Ended December 31 |
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Sales | $ | 582,500 | |||||
Cost of goods sold | 285,000 | ||||||
Gross profit | 297,500 | ||||||
Operating expenses | |||||||
Depreciation expense | $ | 20,750 | |||||
Other expenses | 132,400 | 153,150 | |||||
Other gains (losses) | |||||||
Loss on sale of equipment | (5,125 | ) | |||||
Income before taxes | 139,225 | ||||||
Income taxes expense | 24,250 | ||||||
Net income | $ | 114,975 | |||||
Additional Information on Current Year Transactions
Required:
Prepare a complete statement of cash flows using the DIRECT
method. (Amounts to be deducted should be
indicated with a minus sign.)
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year,...
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year $ 49,800...
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year Assets Cash...
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year Assets Cash...
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year Assets Cash...
Forten Company's current year Income statement, comparative balance sheets, and additional Information follow. For the year, () all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers. 3) all purchases of Inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for Inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year 79,988 95,970...
Forten Company, a merchandiser, recently completed its calendar-year 2018 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. The company’s income statement, balance sheets, and additional information follow. FORTEN COMPANY Comparative Balance Sheets December...
the first few pics is info for the cash flow please fill in all the cash flow (last two pics) Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance...
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses.Additional Information on Current Year Transactionsa. The loss on the cash sale of equipment...
Required information Use the following information for the Problems below. [The following information applies to the questions displayed below.] Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and...
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the, year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses.Additional Information on Current Year Transactionsa. The loss on the cash sale of equipment...