please answer do not image. Carla Corporation's balance sheet at the end of 2024 included the following items.Current assets (Cash $82,000)LandBuildingsEquipmentAccum. depr-buildingsAccum. depr-equipmentPatentsTotal1.23.The following information is available for 2025.4.5.6.7.8.9.$236,42010.32,610121,42092,610(31,420)(11.000)41,420$482,060Current liabilitiesBonds payableCommon stockRetained earningsTotal$151,420101,420182,61046,610$482,060Net income was $60,370.Equipment (cost $21,420 and accumulated depreciation $9,420) was sold for $11,420.Depreciation expense was $5,420 on the building and $10,420 on equipment.Patent amortization was $2,500.Current assets other than cash increased by $29,000. Current liabilities increased by $14,420.An addition to the building was completed at a cost of $28,420.A long-term investment in stock was purchased for $16,000.Bonds payable of $52.610 were issued.Cash dividends of $30,000 were declared and paid.Treasury stock was purchased at a cost of $11,000. 7vongjodien queeTextbook and Media.List of Accountsand Equipment||||110Liabilities and Stockholders' EquityLiabilities and Stockholders' Equity

A balance sheet is a financial statement that provides a snapshot of a company's financial position…

Carla Corporation's balance sheet at the end of 2024 included the following items. Current assets (Cash $82,000) Land Buildings Equipment Accum. depr-buildings Accum, depr-equipment Patents Total 1. 4. 5. 6. The following information is available for 2025. 7. 8. $236,420 9. 32,610 10. 121,420 92,610 (31,420) (11.000) 41,420 $482,060 Current liabilities Bonds payable Common stock Retained earnings Net income was $60,370. 2 Equipment (cost $21,420 and accumulated depreciation $9,420) was sold for $11.420. 3. Depreciation expense was $5,420 on the building and $10,420 on equipment. Patent amortization was $2,500. Total $151,420 101,420 182,610 46,610 $482,060 Current assets other than cash increased by $29,000. Current liabilities increased by $14,420. An addition to the building was completed at a cost of $28,420. A long-term investment in stock was purchased for $16,000. Bonds payable of $52.610 were issued. Cash dividends of $30.000 were declared and paid. Treasury stock was purchased at a cost of $11.000.

Carla Corporation's balance sheet at the end of 2024 included the following items. Current assets (Cash $82,000) Land Buildings Equipment Accum. depr-buildings Accum, depr-equipment Patents Total 1. 4. 5. 6. The following information is available for 2025. 7. 8. $236,420 9. 32,610 10. 121,420 92,610 (31,420) (11.000) 41,420 $482,060 Current liabilities Bonds payable Common stock Retained earnings Net income was $60,370. 2 Equipment (cost $21,420 and accumulated depreciation $9,420) was sold for $11.420. 3. Depreciation expense was $5,420 on the building and $10,420 on equipment. Patent amortization was $2,500. Total $151,420 101,420 182,610 46,610 $482,060 Current assets other than cash increased by $29,000. Current liabilities increased by $14,420. An addition to the building was completed at a cost of $28,420. A long-term investment in stock was purchased for $16,000. Bonds payable of $52.610 were issued. Cash dividends of $30.000 were declared and paid. Treasury stock was purchased at a cost of $11.000.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter21: The Statement Of Cash Flows

Section: Chapter Questions

Problem 9E: Partially Completed Spreadsheet Hanks Company has prepared the following changes in account balances...

See similar textbooks

Similar questions

Investing Activities and Depreciable Assets Verlando Company had the following account balances and information available for 2019: During 2019, Verlando recorded the following transactions affecting these accounts: a. Land with a carrying value of 35,000 was sold at a loss of 6,000. b. Land and equipment were purchased with cash during the period. c. Equipment with an original cost of 20,000 that had a book value of 4,000 was written off as obsolete. d. A building with an original cost of 60,000 and accumulated depreciation of 25,000 was sold at a 23,000 gain. e. Depreciation expense and amortization expense were recorded. f. Net income for the year was 60,000. g. A patent was acquired during the year in exchange for 1,200 shares of common stock with a par value of 1 per share and a market value of 26 per share. h. Additional marketable securities wefe purchased during the year. i. Verlando Company has no notes payable in the liabilities section of its balance sheet. Required: 1. Next Level Assuming that Verlando uses the indirect method to determine operating cash flows, what is the amount of depreciation expense and amortization expense that would be added back to net income: 2. Prepare the investing activities section of the statement of cash flows for the year ended December 31, 2019. 3. Prepare the disclosure for significant noncash transactions for the statement of cash flows for the year ended December 31, 2019.
Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense for 2019 if the units-of-production method were used ( Note: Round your answer to the nearest dollar)? a. $179,400 b. $184,000 c. $218,400 d. $224,000
Partially Completed Spreadsheet Hanks Company has prepared the following changes in account balances for the spreadsheet to support its 2019 statement of cash flows: Additional information: The net income was 1,300. Depreciation expense was 350, and patent amortization expense was 100. At the end of 2019, long-term investments were purchased at a cost of 1,550. Land that cost 700 was sold for 900. On December 31, 2019, bonds payable with a face value of 2,000 were issued for equipment valued at 2,300. Two hundred shares of common stock were issued at 7 per share. Forty shares of common stock were issued as a small stock dividend, the relevant market price being 5 per share. Cash dividends declared and paid totaled 600. Required: On the basis of the preceding information, complete the spreadsheet.
Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense at December 31, 2020, if the double-declining-balance method were used? a. $187,200 b. $192,000 c. $195,200 d. $312, 000
Using the sum-of-the-years-digits method, how much depreciation expense should Vorst record in 2020 for Asset B? a. 6,000 b. 9,000 c. 11,000 d. 12,000
Referring to PA7 where Kenzie Company purchased a 3-D printer for $450,000, consider how the purchase of the printer impacts not only depreciation expense each year but also the assets book value. What amount will be recorded as depreciation expense each year, and what will the book value be at the end of each year after depreciation is recorded?
Athenian Venues Inc. just reported the following selected portion of its financial statements for the end of 2020. Your assistant has already calculated the 2020 end-of-year net operating working capital (NOWC) from the full set of financial statements (not shown here), which is 13 million. The total net operating capital for 2019 was 50 million. What was the 2020 net investment in operating capital? Athenian Venues Inc.: Selected Balance Sheet Information as of December 31 (Millions of Dollars)
Gray Companys financial statements showed income before income taxes of 4,030,000 for the year ended December 31, 2020, and 3,330,000 for the year ended December 31, 2019. Additional information is as follows: Capital expenditures were 2,800,000 in 2020 and 4,000,000 in 2019. Included in the 2020 capital expenditures is equipment purchased for 1,000,000 on January 1, 2020, with no salvage value. Gray used straight-line depreciation based on a 10-year estimated life in its financial statements. As a result of additional information now available, it is estimated that this equipment should have only an 8-year life. Gray made an error in its financial statements that should be regarded as material. A payment of 180,000 was made in January 2020 and charged to expense in 2020 for insurance premiums applicable to policies commencing and expiring in 2019. No liability had been recorded for this item at December 31, 2019. The allowance for doubtful accounts reflected in Grays financial statements was 7,000 at December 31, 2020, and 97,000 at December 31, 2019. During 2020, 90,000 of uncollectible receivables were written off against the allowance for doubtful accounts. In 2019, the provision for doubtful accounts was based on a percentage of net sales. The 2020 provision has not yet been recorded. Net sales were 58,500,000 for the year ended December 31, 2020, and 49,230,000 for the year ended December 31, 2019. Based on the latest available facts, the 2020 provision for doubtful accounts is estimated to be 0.2% of net sales. A review of the estimated warranty liability at December 31, 2020, which is included in other liabilities in Grays financial statements, has disclosed that this estimated liability should be increased 170,000. Gray has two large blast furnaces that it uses in its manufacturing process. These furnaces must be periodically relined. Furnace A was relined in January 2014 at a cost of 230,000 and in January 2019 at a cost of 280,000. Furnace B was relined for the first time in January 2020 at a cost of 300,000. In Grays financial statements, these costs were expensed as incurred. Since a relining will last for 5 years, Grays management feels it would be preferable to capitalize and depreciate the cost of the relining over the productive life of the relining. Gray has decided to nuke a change in accounting principle from expensing relining costs as incurred to capitalizing them and depreciating them over their productive life on a straight-line basis with a full years depreciation in the year of relining. This change meets the requirements for a change in accounting principle under GAAP. Required: 1. For the years ended December 31, 2020 and 2019, prepare a worksheet reconciling income before income taxes as given previously with income before income taxes as adjusted for the preceding additional information. Show supporting computations in good form. Ignore income taxes and deferred tax considerations in your answer. The worksheet should have the following format: 2. As of January 1, 2020, compute the retrospective adjustment of retained earnings for the change in accounting principle from expensing to capitalizing relining costs. Ignore income taxes and deferred tax considerations in your answer.
The balance sheets for Plasma Screens Corporation, along with additional information, are provided below: PLASMA SCREENS CORPORATIONBalance SheetsDecember 31, 2021 and 2020 2021 2020 Assets Current assets: Cash $ 146,750 $ 159,000 Accounts receivable 76,000 89,500 Inventory 90,000 75,500 Prepaid rent 3,000 1,500 Long-term assets: Land 455,000 455,000 Equipment 750,000 645,000 Accumulated depreciation (415,000 ) (258,000 ) Total assets $ 1,105,750 $ 1,167,500 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 94,000 $ 80,500 Interest payable 6,750 13,500 Income tax payable 7,000 4,500 Long-term liabilities: Notes payable 112,500 225,000 Stockholders' equity: Common stock…
The balance sheets for Plasma Screens Corporation, along with additional information, are provided below: PLASMA SCREENS CORPORATION Balance Sheets December 31, 2024 and 2023 2024 2023 Assets Current assets: Cash $144,850 $156,500 Accounts receivable 76,400 90,000 Inventory 91,000 76,400 Prepaid rent 3,200 1,600 Long-term assets: Land 460,000 460,000 Equipment 756,000 650,000 Accumulated depreciation (418,000) (260,000) Total assets $1,113,450 $1,174,500 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $95,000 $81,400 Interest payable 6,750 13,500 Income tax payable 7,200 4,600 Long-term liabilities: Notes payable 112,500 225,000 Stockholders' equity: Common stock 680,000 680,000 Retained earnings 212,000 170,000 Total liabilities and stockholders' equity $1,113,450 $1,174,500 Additional Information for 2024: Net income is $65,000. The company purchases $106,000 in…
The balance sheets for Plasma Screens Corporation and additional information are provided below. PLASMA SCREENS CORPORATION Balance Sheets December 31, 2024 and 2023 2024 2023 Assets Current assets: Cash $242,000 $130,000 Accounts receivable 98,000 102,000 Inventory 105,000 90,000 Investments 5,000 3,000 Long-term assets: Land 580,000 580,000 Equipment 890,000 770,000 Less: Accumulated depreciation (528,000) (368,000) Total assets $1,392,000 $1,307,000 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $109,000 $95,000 Interest payable 7,000 13,000 Income tax payable 9,000 6,000 Long-term liabilities: Notes payable 110,000 220,000 Stockholders' equity: Common stock 800,000 800,000 Retained earnings 357,000 173,000 Total liabilities and stockholders' equity $1,392,000 $1,307,000 Additional information for 2024: Net income is $184,000. Sales on account are $1,890,000. Cost of…
The Comparative Balance Sheet of XYZ Inc. for December 31, 2019 and 2018 is shown as follows: 12/31/19 12/31/18 Assets Cash $625,760 $585,920 Accounts Receivable 227,840 208,960 Inventories $641,760 $617,120 Investments 0 240,000 Land…