Question

2019 2018 Credit Union - Bank Cash Float Accounts Receivable Inventory Due from COF Holdings 5 Year Loan Receivable Investment in ITW Shares Furniture and Fixtures Acc Depreciation - FF Computer Acc Depreciation - Cptr Leasehold Improvements Acc Depreciation - LI Forklift Acc Depreciation - Forklift Van Acc Depreciation - Van Goodwill Accounts Payable Accrued Liabilities Payroll Payables Income Tax Payable PST Payable GST Payable Due to Shareholder Class A Common Shares Class G - Redeemable Preferred Shares Retained Earnings Sales Cost of Goods Sold Interest Income Advertising Depreciation Postage and Office Credit Card Fees Interest Expense Automobile Utilities Payroll Professional Fees Rental Insurance Travel Income Tax Expense Dividends (215,587) 3,215 32,451 626,082 44,081 243,958 488,397 254,000 (191,010) 92,675 (88,116) 215,855 (147,269) 15,157 (13,692) 13,745 (12,265) 1,501 (249,915) (22,260) (26,903) (815) (18,800) (4,380) (631,418) (18) (191) (528,687) (3,001,243) 1,861,922 (10,830) 65,321 41,789 35,034 31,639 29,946 15,130 33,202 552,322 8,811 264,000 10,918 7,128 9,019 166,101 (229,503) 3,215 36,580 691,838 (531,785) 238,531 504,413 237,791 (177,289) 92,675 (82,896) 215,855 (125,684) 15,157 (13,064) 13,745 (11,631) 1,501 (258,537) (9,902) (20,786) 1,144 (18,433) (7,895) (36,045) (18) (290) (480,397) (3,040,016) 1,891,273 (2,569) 169,383 42,642 34,301 32,789 21,954 10,505 33,329 435,000 7,234 264,000 12,545 4,264 10,176 24,900 Assignment 1 - Bus 211 Prepare a set of financial statements for NIC Incorporated Inc at December 31, 2019 including an income statement, balance sheet, statement of retained earnings and statement of cash flows for the year then ended.

Answer 1

Income Statement 2019 Particulars 2018 30,01,243 -18,61,922 11,39,321 10,830 30,40,016 -18,91,273 11,48,743 2,569 Sales Less: COGS Gross profit Add: other Income Less: Expenses Advertising Depreciation Postage and office Credit card fees Interest expense Automobile Utilities Payroll Professional fees Rental Insurance Travel Income tax expense Net Income -65,321 -41,789 -35,034 -31,639 -29,946 -15,130 -33,202 -5,52,322 -8,811 -2,64,000 -10,918 -7,128 -9,019 45,892 -1,69,383 -42,642 -34,301 -32,789 -21,954 -10,505 -33,329 -4,35,000 -7,234 -2,64,000 -12,545 -4,264 -10,176 73,190

Statement of Retained Earnings Particulars 2019 2018 Opening balance 5,28,687 4,80,397 Add: Net Income 45,892 73,190 Less: Dividend -1,66,101 -24,900 Closing balance 4,08,478 5,28,687

Balance Sheet 2019 2018 44,081 6,26,082 32,451 3,215 4,88,397 -5,31,785 6,91,838 36,580 3,215 5,04,413 11,94,226 7,04,261 2,38,531 Particulars Assets Current Assets: Due from COF Holdings Inventory Account Receivable Cash Float Investment in ITW shares Income tax Receivable Total Current Assets Non Current Assets: 5 Year Loan Receivable Furntitur & Fixtures Less: Accumulated Depreciation Computer Less: Accumulated Depreciation Leasehold improvements Less: Accumulated Depreciation Forklift Less: Accumulated Depreciation Van Less: Accumulated Depreciation Goodwill Total Non-Current Assets Total Assets 60,502 9,779 2,54,000 -1,91,010 92,675 -88,116 2,15,855 -1,47,269 15,157 -13,692 13,745 -12,265 90,171 2,43,958 2,37,791 62,990 -1,77,289 92,675 4,559 -82,896 2,15,855 68,586 -1,25,684 15,157 1,465 -13,064 13,745 1,480 -11,631 1,501 3,84,539 15,78,765 2,093 2,114 1,501 4,04,691 11,08,952

2,15,587 2,29,503 Liabilities & Equities: Liabilities Credit Union-Bank Due to COF Holdings Accounts Payable Accrued Liabilities Payroll Payables Income tax payable PST Payable GST Payable Total Liabilities Shareholders' Equity Due to Shareholders Class A-Common shares Class G- Redeemable preference shares Retained Earnings Total Shareholders' Equity Total Liabilities & Shareholders' Equity 2,49,915 22,260 26,903 815 18,800 4,380 5,38,660 2,58,537 9,902 20,786 -1,144 18,433 7,895 5,43,912 6,31,418 18 191 4,08,478 10,40,105 15,78,765 36,045 18 290 5,28,687 5,65,040 11,08,952

2019 45,892 Statement of Cash Flows Particulars Cash flows from Operating activities: Net Income Add/Less: Adjustments Interest Income -10,830 Depreciation 41,789 Inventory 65,756 Account Receivable 4,129 Income tax payable 1,959 Credit Union- Bank -13,916 Due to COF Holdings -5,75,866 Accounts Payable -8,622 Accrued Liabilities 12,358 PST Payable 367 GST Payable -3,516 Payroll Payables 6,117 Net Cash flow from Opearting activities -4,80,275 -4,34,383 Cash Flow from Investing activities: Investment in ITW shares 5 Year Loan Receivable Interest Income Furntitur & Fixtures Net Cash flow from Investing activities 16,016 -5,427 10,830 -16,209 5,210

Cash Flow from Financing activities: Issue of share capital Redeemed preference shares Dividend paid Net Cash flow from Financing activities 5,95,373 -99 -1,66,101 4,29,173 Net Increase/Decrese in Cash Add: Opening Balance Closing balance of Cash 3,215 3,215

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