Financial Accounting 1

They paid three unaffiliated holders of its subordinated notes an amount of $450,000, and $5.9 million in direct costs of the offering. They had a Recapitalization agreement, an in accordance of the agreement, all of the principal and accrued and unpaid interest on outstanding notes, to the extent not paid, totaling $279.2 million, as well as Class A and B Preferred stock outstanding, were exchanged 30.1 million shares of common stock at a share price of $12.00.

7.    Prepare the 3 financial statements for the year ended June 30, 2013 (multi step income statement, classified balance sheet, and statement of retained earnings). Even though you are preparing a multi-step income statement, you still need to list the various expenses individually on the income statement for consideration of full credit. These 3 statements must be typed. Also you must include appropriate dollar signs and appropriate underlines and correct formatting for the statements to receive full credit.

cognizant of the fact that the choices he makes can affect the price a buyer pays

2. How many months' worth of expenses do you think your financial reserve should include? Describe at least two reasons for this decision. (3-6 sentences. 2.0 points)

1. Indicate which statement you would examine the fine each of the following items: income statement, balance sheet, retained earnings statement, or statement of cash flows

2. Solomon, Inc. has net sales of $745,100 and costs of $590,800. The depreciation expense is $82,600 and the interest paid is $15,500. What is the amount of the firm's operating cash flow if the tax rate is 35 percent?

A.(4)- Receiving reports are prepared for all materials received and such reports are accounted for on a timely basis.

| If a company uses the allowance method of accounting for bad debts, which one of the following statements is true?Answer

b) Indicate if the amounts that are involved in the current year will be added to or deducted from

• It is discovered that $10,000 cash received during the year and credited to sales are actually related to services to be delivered in July 2014. • $5,000 of wages relating to June 2014 have not been paid and need to be accrued. Part A (12 Marks) Prepare journal entries for the necessary end of period adjustments. Debit Credit

1) Which one of the following items is not generally used in preparing a statement of cash flows?

Learning Objective: 04-02 Explain the purpose of adjustments and analyze the adjustments necessary at the end of the period to update balance sheet and income statement accounts.

Cash balance of $925,000. Only the checking account balance should be reported as cash. The certificates of deposit should be reported as a temporary investment, the cash advance to subsidiary should be reported as accounts receivable, and the utility deposit should be identified as a receivable from the gas company.

3. Refer to the monthly sales forecasts given in the first Table. Assume that these amounts are realized and that the firm’s customers pay exactly as predicted.

Prepare the (adjusted) trial balance 7. Prepare financial statements 8. Prepare closing journal entries for the year 9. Prepare post-closing trial balance (optional) 10. Prepare reversing entries (optional)