Question

Cash	$28,784	Depreciation Expense	$4,100	Taxes Payable	$712
Mortgage Payable	$43,500	Land	$62,000	Treasury Stock	$2,210
Sales Discounts and Returns	$1,258	Accounts Receivable	$5,292	Supplies Expenses	$355
Bonds Payable	$38,000	Accumulated Depreciation	$17,250	Income Tax Expense	$780
Equipment	$32,600	Interest Expense	$2,900	Notes Payable	$11,000
Cost of Goods Sold	$31,500	Current Portion of Bonds Payable	$6,200	Current Portion of Mortgage Payable	$2,350
Product Sales (Gross)	$66,145	Utilities Expense	$950	Inventory	$12,500
Discount of Bonds Payable	$970	Salaries Expense	$12,000	Revenues from Software Licenses	$1,050
Buildings	$52,000	Goodwill	$350	Advertising Expenses	$5,340
Sales Expenses	$7,200	Salaries Payable	$412	Marketable Securities	$3,450
Accounts Payable	$5,340	PrePaid Expenses	$1,100	Deferred Revenues	$670
Interest Payable	$710	Dividends Payable	$500	Current Portion Notes Payable	1,100

In addition, the company had common stock of $42,000 at the beginning of the year and issued an additional $3,500 during the year. The company also had retained earnings of $28,700 at the beginning of the year and declared dividends of $1,500 during the year.

Using the account information above develop a Balance Sheet and Income Statement, then answer the next six questions. The list of accounts is complete so your balance sheet should balance if you have performed the work correctly.

Calculate the Net Income (or Net Loss) After Interest and Taxes

Calculate the Total Amount of Current Assets

Calculate the Total Amount of Current Liabilities.

Calculate the Total Assets

What is the total amount of the stockholders equity

what is the amount of Long-Term Liabilities?

Answer 1

Credit Debit $28,784 $3,450 $5,292 $12,500 $1,100 $62,000 $52,000 $32,600 $350 $64,887 $1,050 $65,937 $31,500 $34,437 Trial Balance December 31 Account Titles Cash Marketable Securities Accounts Receivable Inventory Prepaid Expenses Land Buildings Equipment Goodwill Accumulated Depreciation Accounts Payable Salaries Payable Taxes Payable Interest Payable Deferred Revenue Dividends Payable Current Portion of Bonds Payable Current Portion of Mortgage Payable Current Portion of Note Payable Bonds Payable Discount of Bonds Payable Mortgage Payable Note Payable Common Stock Treasury Stock Retained Earnings Dividends Income Statement For the Year Ended December 31 Sales $66,145 Less: Sales Returns and Allowances $1,258 Net Sales Revenue Revenues from Software Licenses Total Operating Revenue Cost of Goods Sold Gross Profit Operating Expenses: Sales Expenses $7,200 Depreciation Expense $4,100 Salaries Expense $12,000 Adevertising Expense $5,340 Supplies Expense $355 Utilities Expense $950 Total Operating Expenses Operating Profit Interest Expense Income Before Taxes Income Tax Expense Net Income (or Net Loss) After Interest and Taxes $17,250 $5,340 $412 $712 $710 $670 $500 $6,200 $2,350 $1,100 $38,000 $29,945 $4,492 $2,900 $1,592 $780 $812 $970 $43,500 $11,000 $45,500 Statement of Retained Earnings For the Year Ended December 31 Retained Earnings - Beginning Balance Add: Net Income Less: Dividends $1,500 Net decrease in retained earnings Retained Earnings - Ending Balance $812 $28,700 [Ref: Income Statement] $2,210 $28,700 $1,500 -$688 $28,012

$66,145 $1,050 Product Sales (Gross) Revenues from Software Licenses Sales Discounts and Returns Cost of Goods Sold Sales Expenses Depreciation Expense Salaries Expense Adevertising Expense Supplies Expense Income Tax Expense Utilities Expense Interest Expense Totals $1,258 $31,500 $7,200 $4,100 $12,000 $5,340 $355 $780 $950 $2,900 $269,139 $269,139 Assets Current Assets: Cash Marketable Securities Accounts Receivable Inventory Prepaid Expenses Total Current Assets $28,784 $3,450 $5,292 $12,500 $1,100 Balance Sheet December 31 Liabilities & Shareholders' Equity Current Liabilities: Accounts Payable Salaries Payable Taxes Payable Interest Payable Deferred Revenue $51,126 Dividends Payable $5,340 $412 $712 $710 $670 $500

$6,200 $2,350 $1,100 $17,994 Property, Plant and Equipment: Land $62,000 Buildings $52,000 Equipment $32,600 $146,600 Less: Accumulated Depreciation $17,250 Property, Plant and Equipment, Net Intangible Assets: Goodwill Current Portion of Bonds Payable Current Portion of Mortgage Payable Current Portion of Note Payable Total Current Liabilities Long-Term Liabilities: Bonds Payable Discount of Bonds Payable $129,350 Mortgage Payable Note Payable $350 Total Long-Term Liabilities Total Liabilities Shareholders' Equity: Common Stock Treasury Stock Retained Earnings Shareholders' Equity $180,826 Total Liabilities & Shareholders' equity $38,000 $970 $43,500 $11,000 $91,530 $109,524 $45,500 $2,210 $28,012 [Ref: Statement of Retained Earnings] $71,302 $180,826 Total Assets