Accounting records of Arabica Company showed the following items as of December 31: Current Assets 9700,000.00 Current Liabilities 300,000.00 Noncurrent Assets 2,500,000.00 Noncurrent Liabilities 1,500,000.00 Outstanding ordinary shares, January 1 350,000 Outstanding ordinary shares, January 31 450,000 In July 1, Arabica company issued additional 100,000 shares to fund its investment. How much is the book value P1400000.00|
Q: Miami Heat Inc. began operations in January2017, and reported the following results for each of its…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: The following information was taken from the accounting records of Sa Gyung Joon Inc. for 2020.…
A: Cash flow from investing activities: It is a section of the cash flow statement that shows the cash…
Q: These account balances at December 31 relate to Sportplace, Inc.:Accounts Payable…
A: Stockholders’ equity: The claims of owners on a company’s resources, after the liabilities are paid…
Q: During the current year, XYZ Corporation had the following activities related to financial…
A: Cash flow from Financing activities includes the transactions relating to the loan/debt,…
Q: Carleton Builders Ltd. recorded the following summarized transactions during the current year:a. The…
A: No violation has been identified. Correctly applied revenue accounting principle.
Q: The following information was taken from the accounting records of the company for 2020. Proceeds…
A: Cash flow from investing activities: It is a section of the cash flow statement that shows the cash…
Q: The following data were taken from the financial statements of Hunter Inc. for December 31 of two…
A: a (1 &b)
Q: Miami Heat Inc. began operations in January2017, and reported the following results for each of its…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: The following accounts and their balances appear in the ledger of Goodale Properties Inc. on June 30…
A: Stockholders’ Equity Section: It is refers to the section of the balance sheet that shows the…
Q: Contributed Capital The following is a partial list of the accounts and ending account balances…
A: Contributed Capital: Contributed capital is the total amount of cash or assets received by company…
Q: How much is the issuance price for the Preference Share Capital? How much is the issuance price for…
A: Contributed Capital is the total amount contributed by the owners and also includes shares premium.…
Q: Information from the financial statements of Henderson-Niles Industries included the following at…
A: Introduction: Earning Per Share means the earnings share or portion earned by each share of a…
Q: ABC Company Ltd. was registered with an authorized capital of Rs 10,000,000 divided into 100,000…
A: Accounting cycle can be defined as the accounting process adopted universally to record the monetary…
Q: H. Below is a partial list of account titles and balances for the TNT Corporation as of December…
A: Since you have posted a question with multiple sub-parts, we will solve first three sub parts for…
Q: The following data were taken from the financial statements of Hunter Inc. for December 31 of two…
A: Answer: Part a:
Q: The annual report for Sneer Corporation disclosed that the company declared and paid preferred…
A: Answer 1) Account Titles and Explanation Debit Credit Dividends $ 1,20,000…
Q: Red Hat Company began operations in January 2018 and reported the following results of operations…
A: Book value per common stock = (Total stockholder's equity-(liquidation value of preferred stock+…
Q: The following capital accounts are shown in the statement of financial position of George…
A: Profit and loss account is an account which records incomes and expenses of the business. It tells…
Q: The annual report for Sneer Corporation disclosed that the company declared and paid preferred…
A: Debit Credit Dividends declared $ 160,000 Dividends Payable $ 160,000…
Q: Assume that, on January 1, 2021, Sacramento Corporation paid $1,622,400 for its investment in 62,400…
A:
Q: Parent Co. invested $1,000,000 in Sub Co. for 25% of its outstanding stock. Sub Co. pays out 40% of…
A:
Q: Accrued Expenses = P50,000 Accounts Payable = P400,000 Accounts Receivable = P220,000…
A: Given: The ledger accounts of the Ilano Corporation was given with and to find the financial…
Q: A. Gympa reported on its income statement a net income $647,000 for the year ended December 31…
A: Note: Since you have asked multiple question, we will solve the first question for you. If you want…
Q: A company has an authorized capital of 10,000 common shares of $10 par value and 7,500 common shares…
A: Journal entry: An act of recording the daily transaction of a firm in the journal is called journal…
Q: Information from the financial statements of Henderson-Niles Industries included the following at…
A: There are two type of shares that are being issued by the company for arranging of finance. These…
Q: The Red Hat Company began operations in January 2018 and reported the following results of…
A: Preference Share Capital = P 6,000,000 Dividend = 9% Preference share outstanding = 60,000 Ordinary…
Q: After formation on Aug. 1, 2018, the ledger accounts of the Ilano Corporation have the following…
A: Hello. Since your question has multiple sub-parts, we will solve the first three sub-parts for you.…
Q: The annual report for Sneer Corporation disclosed that the company declared and paid preferred…
A: Dividend: It is the distribution of profit earned by a company its common stock shareholders. In…
Q: ABC Company provided the following information on December 31, 2020 Share capital…
A: Contributed capital is also known as paid in capital, it is the total cash and assets the investors…
Q: After formation on Aug. 1, 2018, the ledger accounts of the Ilano Corporation have the following…
A: Preference shares are those which have the preference in receiving the dividends and are redeemed…
Q: Bramble Inc. began operations in January 2018 and reported the following results for each of its 3…
A: Requirement 1:
Q: The balance sheet for Garcon Inc. at the end of the current fiscal year indicated the…
A: Since we only answer up to 3 sub-parts, we’ll answer the first three. Please resubmit the question…
Q: The following is a list of selected account balances taken from the December 31, 2021, general…
A: The sum of assets left in a business after all obligations have been paid is known as stockholders'…
Q: The following details are obtained from the books of Hendry Itd. As on 30th June 2002 Share capital…
A: 1) Net Asset method :- Calculation of net assets Market value of assets Fixed assets…
Q: The annual report for Sneer Corporation disclosed that the company declared and paid preferred…
A: 1) Date Account Journal Debit $ Credit $ 1 Dividend - Preferred stock 280,000 Dividends…
Q: Husain Corporation has the following account it trial balance at the end of year: Retained earnings…
A: Balance sheet is defined as the financial statement which reports the shareholders' equity, assets…
Q: Crane Inc. began operations in January 2018 and reported the following results for each of its 3…
A: a)Computation of the book value of the common stock at December 31, 2020 as follows:- Computation…
Q: At the beginning of the current year, Bella Company was organized and authorized to issue 100,000…
A: The shareholders' equity section displays all the capital, income or losses that belongs to…
Q: After formation on Aug. 1, 2018, the ledger accounts of the Ilano Corporation have the following…
A: Stock is the total amount of money hold by any company that is generated through selling shares in…
Q: Party Company reported total assets of P1,050,000 and total liabilities of P680,000 in it December…
A: Statement of owner equity states the changes in the equity(Capital stock) of the company over a…
Q: AUBURN Corporation had 120,000 of ordinary shares issued and outstanding at January 1, 2021. On On…
A: Earnings per share indicate the profits per share of common stockholders. It can be calculated by…
Q: ABC Company Ltd provides you following information and balance sheet on 31 December: Balance Sheet…
A: Since you have asked a question with multiple parts, we will solve the first 3 parts for you. Please…
Q: ezos Co. reported the following capital structure at the beginning of the current year= ordinary…
A: EPS is calculated by taking into account the earnings available for equity shareholders. WHERE,…
Q: CFAS Company showed the following information from its shareholders' equity at year-end before the…
A: Accounting Entry to be made: General Journal Debit Credit Common Stock (5100 shares * P125)…
Q: Sugar Snap Manufacturing has the following information available from its accounting records: /…
A: Shares are the units of the total stock of a company which shows the fractional ownership of the…
Q: Current Assets $ 270,000 Investments $ 312,000 Share Capital - Ordinary (par Value $10) $ 300,000…
A: Dividends: This is the amount of cash distributed to stockholders by a company out its earnings,…
Q: Monitor Company has 120,000 ordinary shares issued and outstanding at January 1, 2020. On January 2…
A: Earnings per share represent the earnings held in hands of each shareholder of the company. It is…
Q: The annual report for Sneer Corporation disclosed that the company declared and paid preferred…
A: Dividend is the amount of return paid to the shareholders in the form of return. The dividend…
how much is the book value?
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Comprehensive The following are Farrell Corporations balance sheets as of December 31, 2019, and 2018, and the statement of income and retained earnings for the year ended December 31, 2019: Additional information: a. On January 2, 2019, Farrell sold equipment costing 45,000, with a book value of 24,000, for 19,000 cash. b. On April 2, 2019, Farrell issued 1, 000 shares of common stock for 23,000 cash. c. On May 14, 2019, Farrell sold all of its treasury stock for 25,000 cash. d. On June 1, 2019, Farrell paid 50, 000 to retire bonds with a face value (and book value) of 50, 000. e. On July 2, 2019, Farrell purchased equipment for 63, 000 cash. f. On December 31, 2019, land with a fair market value of 150,000 was purchased through the issuance of a long-term note in the amount of 150,000. The note bears interest at the rate of 15% and is due on December 31, 2021. g. Deferred taxes payable represent temporary differences relating to the use of accelerated depreciation methods for income tax reporting and the straight-line method for financial statement reporting. Required: 1. Prepare a spreadsheet to support a statement of cash flows for Farrell for the year ended December 31, 2019, based on the preceding information. 2. Prepare the statement of cash flows. (Appendix 21.1) Spreadsheet and Statement Refer to the information for Farrell Corporation in P21-13. Required: 1. Using the direct method for operating cash flows, prepare a spreadsheet to support a 2019 statement of cash flows. (Hint: Combine the income statement and December 31, 2019, balance sheet items for the adjusted trial balance. Use a retained earnings balance of 291,000 in this adjusted trial balance.) 2. Prepare the statement of cash flows. (A separate schedule reconciling net income to cash provided by operating activities is not necessary.)Comprehensive The following are Farrell Corporations balance sheets as of December 31, 2019, and 2018, and the statement of income and retained earnings for the year ended December 31, 2019: Additional information: a. On January 2, 2019, Farrell sold equipment costing 45,000, with a book value of 24,000, for 19,000 cash. b. On April 2, 2019, Farrell issued 1,000 shares of common stock for 23,000 cash. c. On May 14, 2019, Farrell sold all of its treasury stock for 25,000 cash. d. On June 1, 2019, Farrell paid 50,000 to retire bonds with a face value (and book value) of 50,000. e. On July 2, 2019, Farrell purchased equipment for 63,000 cash. f. On December 31, 2019. land with a fair market value of 150,000 was purchased through the issuance of a long-term note in the amount of 150,000. The note bears interest at the rate of 15% and is due on December 31, 2021. g. Deferred taxes payable represent temporary differences relating to the use of accelerated depreciation methods for income tax reporting and the straight-line method for financial statement reporting. Required: 1. Prepare a spreadsheet to support a statement of cash flows for Farrell for the year ended December 31, 2019, based on the preceding information. 2. Prepare the statement of cash flows.Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.
- Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 20 par common stock at 30, receiving cash. b. Issued 4, 000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 37 5. The bonds are classified as a held-to-maturity long -term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0 .60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 45, including commission. p. Recorded the payment of semiannual interest on the bonds issue d in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method . q. Accrued interest for three months on the Dream Inc. bonds purchased in (I). r. Pinkberry Co. recorded total earnings of 240 ,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39. 02 per share on December 31, 2016. The investment is adjusted to fair value , using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments h ad a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transaction s for the year ended December 31, 201 6, had been poste d [including the transactions recorded in part (1) and all adjusting entries), the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step in come statement for the year ended December 31, 201 6, concluding with earnings per share . In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. ( Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 20 6. c. Prepare a balance sheet in report form as of December 31, 2016.Cary Corporation has 50,000 shares of 10 par common stock authorized. The following transactions took place during 2019, the first year of the corporations existence: Sold 5,000 shares of common stock for 18 per share. Issued 5,000 shares of common stock in exchange for a patent valued at 100,000. At the end of Carys first year, total contributed capital amounted to: a. 40,000 b. 90,000 c. 100,000 d. 190,000Reporting paid-in capital The following accounts and their balances were selected from the unadjusted trial balance of Point Loma Group Inc., a freight forwarder, at October 31, the end of the current fiscal year: Prepare the Paid-In Capital portion of the stockholders equity section of the balance sheet using Method 1 of Exhibit 8. There are 375,000 shares of common stock authorized and85,000 shares of preferred stock authorized.
- The following selected accounts appear in the ledger of EJ Construction Inc. at the beginning of the current fiscal year: During the year, the corporation completed a number of transactions affecting the stockholders equity. They are summarized as follows: a. Issued 500,000 shares of common stock at 8, receiving cash. b. Issued 10,000 shares of preferred 1% stock at 60. c. Purchased 50,000 shares of treasury common for 7 per share. d. Sold 20,000 shares of treasury common for 9 per share. e. Sold 5,000 shares of treasury common for 6 per share. f. Declared cash dividends of 0.50 per share on preferred stock and 0.08 per share on common stock. g. Paid the cash dividends. Instructions Journalize the entries to record the transactions. Identify each entry by letter.Reporting paid-in capital The following accounts and their balances were selected from the adjusted trial balance of Point Loma Group Inc., a freight forwarder, at October 31, the end of the current fiscal year: Prepare the Paid-in capital portion of the Stockholders Equity section of the balance sheet using Method 1 of Exhibit 9. There are 375,000 shares of common stock authorized and 85,000 shares of preferred stock authorized.Kent Corporation was organized on January 1, 2014. On that date, it issued 200,000 shares of 10 par value common stock at 15 per share (400,000 shares were authorized). During the period January 1, 2014, through December 31, 2019, Kent reported net income of 750,000 and paid cash dividends of 380,000. On January 5, 2019, Kent purchased 12,000 shares of its common stock at 12 per share. On December 28, 2019, 8,000 treasury shares were sold at 8 per share. Kent used the cost method of accounting for treasury shares. What is Kents total shareholders equity as of December 31, 2019? a. 3,290,000 b. 3,306,000 c. 3,338,000 d. 3,370,000
- Silva Company is authorized to issue 5,000,000 shares of $2 par value common stock. In its IPO, the company has the following transaction: Mar. 1, issued 500,000 shares of stock at $15.75 per share for cash to investors. Journalize this transaction.Anoka Company reported the following selected items in the shareholders equity section of its balance sheet on December 31, 2019, and 2020: In addition, it listed the following selected pretax items as a December 31, 2019 and 2020: The preferred shares were outstanding during all of 2019 and 2020; annual dividends were declared and paid in each year. During 2019, 2,000 common shares were sold for cash on October 4. During 2020, a 20% stock dividend was declared and issued in early May. At the end of 2019 and 2020, the common stock was selling for 25.75 and 32.20, respectively. The company is subject to a 30% income tax rate. Required: 1. Prepare the comparative 2019 and 2020 income statements (multiple-step), and the related note that would appear in Anokas 2020 annual report. 2. Next Level Compute the price/earnings ratio for 2020. How does this compare to 2019? Why is it different?On January 1, 2019, Kittson Company had a retained earnings balance of 218,600. It is subject to a 30% corporate income tax rate. During 2019, Kittson earned net income of 67,000, and the following events occurred: 1. Cash dividends of 3 per share on 4,000 shares of common stock were declared and paid. 2. A small stock dividend was declared and issued. The dividend consisted of 600 shares of 10 par common stock. On the date of declaration, the market price of the companys common stock was 36 per share. 3. The company recalled and retired 500 shares of 100 par preferred stock. The call price was 125 per share; the stock had originally been issued for 110 per share. 4. The company discovered that it had erroneously recorded depreciation expense of 45,000 in 2018 for both financial reporting and income tax reporting. The correct depreciation for 2018 should have been 20,000. This is considered a material error. Required: 1. Prepare journal entries to record Items 1 through 4. 2. Prepare Kittsons statement of retained earnings for the year ended December 31, 2019.