Question

MIL HARRO 104_06_PPTC115480 - Search Help Tazish Fareed IF Design Transitions Animations Slide Show Review View Layout Reset Section- BTS A - Aa 2-A-EE A A A : Share Comments Shape Shapes Arrange Find Replace - Select- 2 T es Font Dictate Paragraph Dewing Design Ideas Designer Eating Voice Question 2 You are reviewing the financial statements of three companies in the same industry. Specifically, you are interested in the transactions Stounding capital assets during the past year. The following information is available for the three companies. Compute the unknowns Moto Co $712,200 Synthesis Co. $ 189,300 706,800 284.400 Sunlight Co Beginning capital assets, net of $830.500 depreciation Ending capital assets net of 960.000 depreciation Depreciation expense 65.200 Gain (loss) on sale of capital 5.500 assets Costs of capital assets acquired 230.600 Proceeds from sale of capital (a) assets 49,300 (b) (c) (16,800) 128.000 72.500 55,600 184.900 Notes BB o P 1:32 PM GO ENG O & & w W MacBook Pro creen Leave * ** $ 4 % 5 & 7 * 00 6 -0 0 I R T Y U 0 P. [ F G H J K < B N M м.

Answer 1

The formula we will use are:

	Sunlight	Photo	Syntheis
Beginning balance	$850,500	$712,200	$488,300
Add:asset purchased	$230,600	$128,000	$55,600
Less: depreciation	($65,200)	($49,300)284,400	($57,800)(Note 3)
Less: Assets disposed	$55,900[$850,500+230,600-65,200-assets disposed=$960,000]	$84,100[$712,200+$128,000-$49,300-$706,800]	$201,700
Ending balance	$960,000	$706,800	284,400
Sale proceeds	$61,400 (note 1)	$72,500	$184,900
gain(loss)on sale of capital	$5,500	($11,600) (Note 2)	(16,800)

Note 1 ] sunlight

Assets disposed+gain(Loss) = cash received from sale of asset

$55,900+$5,500

=$61,400

Photo

Note 2 ] Assets disposed+gain(Loss) = cash received from sale of asset

$84,100+gain(loss)=$72,500

loss=$11,600 [its a loss as amount is negative]

synthesis

Note 3] Assets disposed+gain(Loss) = cash received from sale of asset

Assets disposed-16,800=$184,900

Assets disposed= $201,700

beginning+purchase-disposed-depreciation = ending

$488,300+$55,600-201,700-depreciation=$284,400

depreciation =$488,300+$55,600-$201,700-$284,400

=$57,800

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