Question

1 Assume that you are the controller of Nuclear Company. At December 31, 2020, the end of the first year of operations, the following financial data for the company are available: R$ 26,200 13,200 91,200 46,200 55,730 Cash Receivables from customers (all considered collectible) Inventory of merchandise (based on physical count and priced at cost) Equipment owned, at cost less used portion Payables to suppliers of merchandise salary payable for 2020 (on December 31, 2020, this was owed to an employee, but the amount was not paid until January 10, 2021) Total sales revenue Expenses, including the cost of the merchandise sold (excluding income taxes) Income taxes expense (at 301 of pretax earnings) all paid during 2020 Contributed capital. 8,200 shares outstanding -book 2,600 152,000 99,900 Print erences 82,000 No dividends were declared or paid during 2020. Required: 1. Prepare a summarized statement of earnings for the year ended December 31, 2020. NUCLEAR COMPANY Summary Statement of Earnings For the Year Ended December 31, 2020 Total expenses, excluding income taxes Earnings before income taxes Income tax expense Net earnings 0 $ 0

can you please explain how to do tge caclulations

Answer 1

	Check Color Reference to understand Follow of the balances
	Check Color Reference to understand Follow of the balances
		(in $)
	Summary of Statement of Earnings
	For the year ended December 31, 2020
	Total Sales Revenue (1)	152,000
	Total Expenses (2)	99,900
	Earnings before Income Tax 3 = (1-2)	52,100
	Income Tax Expense ( 30% of Earnings before Income Tax)	15,630
	Net Earnings ( Earnings before Income Tax - Income Tax Expense)	36,470
	Net Earnings for the year ended is transferred to Retained Earnings at year end
		(in $)
	Statement of Shareholder's Equity
	For the year ended December 31, 2020
	Contibuted Capital
	Balance January 01, 2020
	Issuance of Shares	82,000	( This is the first year of operations, there cant be balance on Jan 01,2020 and shares are issued during the year)
	Balance December 31, 2020	82,000
	Retained Earnings
	Balance January 01, 2020
	Net Earnings	36,470	( This is the first year of operations, there cant be balance on Jan 01,2020 )
	Balance December 31, 2020	36,470
		(in $)
	Statement of Financial Postion
	As At December 31, 2020
	Assets
	Cash	26,200
	Accounts Receviable	13,200
	Merchandise Inventory	91,200
	Equipment, net	46,200
	Total Assets	176,800
	Liabilities and ShareHolder's Equity
	Liabilities
	Accounts Paybale	55,730
	Salaries Payable	2,600
	Total Liabilities	58,330
	ShareHolder's Equity
	Contributed Capital	82,000
	Retained Earnings	36,470
	Total ShareHolder's Equity	118,470
	Total Liabilities and ShareHolder's Equity	176,800