1. Assuming there were no inventory transactions between the companies, what balance for inventory should be reported in the consolidated balance sheet? a. P 0 b. P90,000 c. P120,000 d. P210,000 2. What amount did Baby pay to acquire Mommy? Was this amount equal to, greater than, or less than underlying book value? How do you know? a. P110,000; P30,000 greater than b. P110,000; P30,000 less than c. Zero; P30,000 less than d. Zero; P30,000 greater than

1. Assuming there were no inventory transactions between the companies, what balance for inventory should be reported in the consolidated balance sheet? a. P 0 b. P90,000 c. P120,000 d. P210,000 2. What amount did Baby pay to acquire Mommy? Was this amount equal to, greater than, or less than underlying book value? How do you know? a. P110,000; P30,000 greater than b. P110,000; P30,000 less than c. Zero; P30,000 less than d. Zero; P30,000 greater than

Name: Problem 2At December 31, 20x4, Baby Corporation acquired all of Mommy
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Description: Problem 2At December 31, 20x4, Baby Corporation acquired all of Mommy Enterprises’ common stock. At that date, the book Values and fair values of Mommy’s identifiable assets and liabilities were identical. Balance sheet data for the individual compan

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.23E: Unusual income statement items Assume that the amount of each of the following items is material to...

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J9998. Assets: Cash and cash equivalents Accounts receivable Inventory Property, plant, and equipment Less accumulated depreciation Total assets Liabilities and stockholders equity: Accounts payable Bonds payable Common stock Retained earnings Total liabilities and stockholders equity Sales Cost of goods sold Gross margin Selling and administrative expense Net operating income Income taxes Net income Comparative Balance Sheet Mutiple Choice O$(153) O 5153 Income Statement $(35) $35 $ 818 284 526 105 421 149 $ 272 Ending Beginning Balance Balance $45 108 67 Cash dividends were $35. The company did not dispose of any property, plant, and equipment. It did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. The net cash provided by (used in) investing activities for the year was. 843 372 $ 691 $85 200 119 287 $ 691 $42 93 52 690 320 $ 557 $94 320 93 50 $ 557
The following information has been provided to you by RKJ Company: Net income $ 310,500 Decrease in accounts payable $ 118,200 Increase in inventory $ 27,250 Increase in accounts receivable $ 27,150 Decrease in bonds payable $ 27,100 Loss on sale of a depreciable asset $ 20,050 Depreciation expense $ 45,250 Decrease in income taxes payable $ 14,100 Using the indirect method, what is the net cash provided by operating activities? Multiple Choice $189,100. $204,950. $169,050. $232,050.
suppose that a company's cash flow statement showed the following: net income: 22,523.99 deprecitation 4580.77 accounts receivable -543.32 inventory 592.81 accounts payable 880.05 what is this companys net cash from operating activities? A. 23,453.53 B. 27,154.25 C. 27,697.57 D. 28,034.30 E. 27,441.48
Return on assets The financial statements of The Hershey Company (HSY) are shown in Exhibits 6 through 9. Based upon these statements, answer the following questions. 1. What are Hershey's sales (in millions)? 2. What is Hershey's cost of sales (in millions)? 3. What is Hershey's net income (in millions)? 4. What is Hershey's percent of the cost of the sales to sales? Round to one decimal place. 5. The percent that a company adds to its cost of sales to determine the selling price is called a markup. What is Hershey's markup percent? Round to one decimal place. 6. What is the percentage of net income to sales for Hershey? Round to one decimal place. 7. Hershey had total assets of $5,554 (millions) at the beginning of the year. Compute the return on assets for Hershey for the year shown in Exhibits 6–9. Round to one decimal place.
Sheffield Company has the following information available: Net income, $22000; Cash provided by operations, $33000; Cash Sales, $82500; Capital expenditures, $13200; and Cash dividends, $6600. What is Sheffield’s free cash flow? a. $52800. b. $13200. c. $2200. d. $29700.
Blossom Company reports the following information: Net income $ 539000 Depreciation expense 153000 Increase in accounts receivable 61000 Blossom should report cash provided by operating activities of $ 753000. $ 447000. $ 631000. $ 325000.
Problem BPeter Senen Corporation provided the following account balances as of September 30, 2020: CashP112,000 Accumulated depreciationP 36,000Accounts Receivable64,000Accounts payable 40,000Finished Goods48,000Income tax payable9,000Work in process 36,000 Share Capital500,000Raw materials 52,000 Retained Earnings207,000Property and Equipment480,000The following transactions occurred during October:1. Materials purchased on account, P150,0002. Materials issued to production: direct materials- P90,000, Indirect materials- P10,000.3. Payroll for the month of October 2020 consisted of the following (also paid during the month):Direct labor P62,000Administrative salariesP16,000Indirect Labor 20,000Sales salaries 30,000Payroll deductions were as follows:Withholding taxes P19,800Phil health contributions P2,000SSS contributions 7,100HDMF contributions 2,0004. Employer contributions for the month were accrued:FactorySellingAdministrativeSSS contributionsP5,700P2,000P1,100Philhealth…
A liquid asset can be converted to cash quickly without significantly impacting the asset’s value. Which of the following asset classes is generally considered to be the most liquid? Accounts receivable Cash Inventories The most recent data from the annual balance sheets of Fitcom Corporation and Zebra Paper Corporation are as follows: Balance Sheet December 31st31st (Millions of dollars) Zebra Paper Corporation Fitcom Corporation Zebra Paper Corporation Fitcom Corporation Assets Liabilities Current assets Current liabilities Cash $2,870 $1,845 Accounts payable $0 $0 Accounts receivable 1,050 675 Accruals 633 0 Inventories 3,080 1,980 Notes payable 3,586 3,375 Total current assets $7,000 $4,500 Total current liabilities $4,219 $3,375 Net fixed assets Long-term bonds 5,156 4,125 Net plant and equipment 5,500 5,500 Total debt $9,375 $7,500 Common equity Common stock $2,031 $1,625…
The following summarized statement of financial position relate to Track Ltd as at 30th June: Details 20x7 20x8 Shs '000' Shs '000' Shs '000' Shs '000' Non-current assets 500 650 Less: Accumulated Depreciation (200) (300) Net Book Value 300 350 Investments at cost 200 50 Current Assets Inventory 400 00 Accounts receivable 1,350 1,550 Cash and Bank 100 - 1850 2,250 Current Liabilities Bank Overdrafts - 60 Accounts payable 650 90 Taxation 230 190 Proposed dividends 150 130 (1030) (110) Total Assets 1320 1,480 Capital and Reserves Called-up share capital Shs I ord. Shares 500 50 Share premium A/c 150 200…
The comparative balance sheets for 20x2 and 20x1 and the income statement for 20x2 are given below for Bowers Corporaion. Additional information from Bowers' accounting records is also provided. Bowers CorporationComparative Balance SheetsDecember 31, 20x2 and 20x1($ in thousands) 20x2 20x1 Assets Cash $ 72 $ 35 Accounts receivable 79 80 Short-term investment 30 10 Inventory 79 75 Land 54 65 Buildings and equipment 510 410 Less: Accumulated depreciation (121 ) (80 ) $ 703 595 Liabilities Accounts payable $ 27 $ 36 Salaries payable 4 6 Interest payable 5 2 Income tax payable 6 10 Notes payable 0 20 Bonds payable 150 110 Shareholders’ Equity Common stock 250 210 Paid-in capital—excess of par 145 105 Retained…
HYPERINFLATIONARY FINANCIAL STATEMENTSProblem 42. Indicate whether the item is a monetary or non-monetary item:__Cash and Cash Equivalents__Loans and receivables__FAFVPL Bonds Receivables__FAAC Bonds Receivables__Investments in Shares of Stocks__Property, Plant and Equipment__Inventory__Investment Property__Prepaid asset__Intangible asset__Deferred tax asset__Accounts payable__Income tax payable__Deferred tax liability__Interest payable__Unearned revenue__Accrued expenses__Notes payable__Loans payable
Consider the following financial information and answer the questionsthat follow:Sales : $250,000Costs : $134,000Depreciation : $10,200Operating expenses : $6,000Interest expenses : $20,700Taxes : $18,420Dividends : $10,600Addition to Retained Earnings : $50,080Long term debt repaid : $9,300New Equity issued : $8,470New fixed assets acquired : $15,000You are required to:iv) Calculate the cash flow from assets v) Calculate net capital spending vi) Calculate change in NWC PLEASE SHOW WORKING