the conti3 A thuty-floo condominium is being coConstruction started on January 2018, completion of thInc will take over only in 2022.Statement ofFinancial PositionOwnerEquity1250,000transaction is given as an example.IncomeStatement+RevenuesExpensesTotalTotalAssetsLiabilitiesDusiness TransactionsDenet investod P250,000 cash to put a business.2 Incurred legal expenies and paid P10,000.Paid cash tor employee wages, P15,000.4Issoed a note for a cash loan, P500,000.5 Received PS0.000 cash for sevice provided.Bought car P500,000 50% down, note for 50%.Bought office equlpment on credit, P180,000.8 Provided services to chents on credit, P175,000.Collected S0% on client sccounts.10 Oscor withhdrew cash, P5.00.11 Net income Ner Loss to Owner's Equity,+250,000) Get the totufs and prove the zccounting cquaionby Out of the total assets; how much is cash?Compute for ROE

The return on equity is calculated as net income divided by total equity.

Answered: 3. Analyze the following tra…

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter16: Accounting Periods And Methods

Section: Chapter Questions

Problem 4RP

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AFN EQUATION Refer to Problem 16-1 and assume that the company had 3 million in assets at the end of 2019. However, now assume that the company pays no dividends. Under these assumptions, what additional funds would be needed for the coming year? Why is this AFN different from the one you found in Problem 16-1?
Johnstone Company is facing several decisions regarding investing and financing activities. Address each decision independently. (FV of $1, PV of $1, FVA of $1, FVAD of $1 and PVAD of$1) (Use appropriate factor(s) from the tables provided.) 1.On June 30, 2021, the Johnstone Company purchased equipment from Genovese Corp. Johnstone agreed to pay Genovese $20,000 on the purchase date and the balance in five annual installments of $8,000 on each June 30 beginning June 30, 2022. Assuming that an interest rate of 10% properly reflects the time value of money in this situation, at what amount should Johnstone value the equipment? 2.Johnstone needs to accumulate sufficient funds to pay a $5000,000 debt that comes due on December 31, 2026. The company will accumulate the funds by making five equal annual deposits to an account paying 9% interest compounded annually. Determine the required annual deposit if the first deposit is made on December 31, 2021. 3.On January 1, 2021, Johnstone leased…
A firm has fixed assets at the end of 2022 of $40,000. At the beginning of 2022, it's fixed assets were $35,000. During the year, the firm recorded $3000 in depreciation. How much was recorded for the firm's CAPEX? Hint #1: CAPEX = end FA - beg FA + dep Hint #2: Be careful with beginning and ending :)
Q3. The following is the summarized balance sheet of Michael Ltd. LIABILITIES 2018 2019 Equity Share Capital Debentures Securities Premium General Reserve Profit & Loss A/C Sundry Creditors Proposed Dividend Provision for Depreciation Plant & Machinery Furniture 200000 50000 - 30000 48000 130000 20000 140000 6000 240000 - 10000 50000 68000 150000 24000 150000 4000 624000 696000 ASSETS Land & Building Plant & Machinery (Cost) Furniture (Cost) Inventories Sundry Debtors Cash 105000 290000 9000 130000 75000 15000 150000 320000 10000 105000 85000 26000 624000 696000 ADDITIONAL INFORMATION: Furniture which cost Rs. 5,000, written down value Rs. 1,000 was sold during the year 2019 for Rs. 2,000.2. Plant and Machinery which cost Rs. 20,000 and in respect of which Rs. 13,000 had been written off as depreciation was sold during the year for Rs. 3,000.3. The dividend of 2018 was paid during 2019.You…
Johnstone Company is facing several decisions regarding investing and financing activities. Address each decision independently. (FV of $1, PV of $1, FVA of $1, FVAD of $1 and PVAD of$1) (Use appropriate factor(s) from the tables provided.) 1.On June 30, 2021, the Johnstone Company purchased equipment form Genovese Corp. Johnstone agreed to pay Genovese $20,000 on the purchase date and the balance in five annual installments of $8,000 on each June 30 beginning June 30, 2022. Assuming that an interest rate of 10% properly reflects the time value of money in this situation, at what amount should Johnstone value the equipment? 2.Johnstone needs to accumulate sufficient funds to pay a $5000,000 debt that comes due on December 31, 2026. The company will accumulate the funds by making five equal annual deposits to an account paying 9% interest compounded annually. Determine the required annual deposit if the first deposit is made on December 31, 2021. 3.On January 1, 2021, Johnstone leased…
Johnstone Company is facing several decisions regarding investing and financing activities. Address each decision independently. (FV of $1, PV of $1, FVA of $1, FVAD of $1 and PVAD of$1) (Use appropriate factor(s) from the tables provided.) 1.On June 30, 2021, the Johnstone Company purchased equipment form Genovese Corp. Johnstone agreed to pay Genovese $20,000 on the purchase date and the balance in five annual installments of $8,000 on each June 30 beginning June 30, 2022. Assuming that an interest rate of 10% properly reflects the time value of money in this situation, at what amount should Johnstone value the equipment? 2.Johnstone needs to accumulate sufficient funds to pay a $5000,000 debt that comes due on December 31, 2026. The company will accumulate the funds by making five equal annual deposits to an account paying 9% interest compounded annually. Determine the required annual deposit if the first deposit is made on December 31, 2021. 3.On January 1, 2021, Johnstone leased…
Nairobi Ltd Trial Balance As at 31st December 2020 Dr. Cr. Kshs'000 Kshs'000 Sales 500 Furniture-at cost 35 Salaries 80 Buildings-at Cost 100 Accounts Receivable 120 Cash and Cash Equivalent 443 Machinery-at Cost 122 Accounts Payable 105 Salaries Payable 42 Long-term Loans 100 Ordinary Share Capital 150 Stock(Inventories) on 31.12.2020 94 Retained Earnings 157 Cost of Sales 60 1,054 1,054 Additional information (i) Machinery is to be depreciated at 10% p.a.…
Johnstone Company is facing several decisions regarding investing and financing activities. Address each decision independently.1. On June 30, 2021, the Johnstone Company purchased equipment from Genovese Corp. Johnstone agreed to pay Genovese $10,000 on the purchase date and the balance in five annual installments of $8,000 on each June 30 beginning June 30, 2022. Assuming that an interest rate of 10% properly reflects the time value of money in this situation, at what amount should Johnstone value the equipment?2. Johnstone needs to accumulate sufficient funds to pay a $400,000 debt that comes due on December 31, 2026. The company will accumulate the funds by making five equal annual deposits to an account paying 6% interest compounded annually. Determine the required annual deposit if the first deposit is made on December 31, 2021.3. On January 1, 2021, Johnstone leased an office building. Terms of the lease require Johnstone to make 20 annual lease payments of $120,000 beginning on…
Johnstone Company is facing several decisions regarding investing and financing activities. Address each decision independently. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)1. On June 30, 2021, the Johnstone Company purchased equipment from Genovese Corp. Johnstone agreed to pay Genovese $26,000 on the purchase date and the balance in five annual installments of $9,000 on each June 30 beginning June 30, 2022. Assuming that an interest rate of 11% properly reflects the time value of money in this situation, at what amount should Johnstone value the equipment?
created balance sheet for HME Sdn Bhd From the following particulars, prepare a balance sheet HME at 30 Jun 2022Capital RM100,000Goodwill RM20,000Prepaid Expenses RM30,000Investment RM20,000Debtors RM30,400Creditors RM30,200Cash at bank RM100,000Furniture RM5,665Outstanding Expenses RM10,000Net profit RM6,242Closing stock RM25,000Bills Receivable RM8,689Bills Payable RM8,000Advance Income RM20,000Drawings RM5,000
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Q.no 3. Below are the statements of Financial Position for HP Desk Corporation for 2019 and 2020. HP desk need to raise PKR 500,000 more capital. Should it go for Equity financing from stock market or loan agreement with a bank at a rate of 10%? Compare and Comment on the liquidity and gearing position of the company. Statement of Financial position for HP desk is given below for the period ending Dec 31 2020 (rounding of ‘000). Statement of Financial position for HP desk is given below for the period ending Dec 31 2019(rounding of ‘000).

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