Comparative financial statements for Weaver Company follow:Weaver CompanyComparative Balance Sheetat December 31ThisLast YearYearAssetsCash10$ 12Accounts receivable295229Inventory150194Prepaid expensesTotal current assetS464441Property, plant, and equipmentLess accumulated depreciation509431(80)(70)Net property, plant, and equipment429361Long-term investments2834Total assets$ 921$836Liabilities and Stockholders' EquityAccounts payable$ 304$226Accrued liabilities7080Income taxes payable7165Total current liabilities445371Bonds payable198171Total liabilities643542Common stock161201Retained earnings11793Total stockholders' equity278294Total liabilities and stockholders' equity$ 921$836Weaver CompanyIncome StatementFor This Year Ended December 31Sales$752447Cost of goods soldGross margin305223Selling and administrative expensesNet operating incomeNonoperating items:Gain on sale of investmentsLoss on sale of equipment82$ 7(2)5Income before taxes87Income taxes23Net income$ 64 During this year, Weaver sold some equipment for $18 that had cost $30 and on which there was accumulateddepreciation of $10. In addition, the company sold long-term investments for $13 that had cost $6 when purchased severalyears ago. Weaver paid a cash dividend this year and the company repurchased $40 of its own stock. This year Weaverdid not retire any bonds.

Name: Comparative financial statements for Weaver Company follow:Weaver Com
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Description: Comparative financial statements for Weaver Company follow:Weaver CompanyComparative Balance Sheetat December 31ThisLast YearYearAssetsCash10$ 12Accounts receivable295229Inventory150194Prepaid expensesTotal current assetS464441Property, plant, and e

The cash flow statement is prepared to record cash flow from various activities as operating ,…

Business

Accounting

Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 This Last Year Year Assets Cash $ 10 $ 12 Accounts receivable 295 229 Inventory 150 194 Prepaid expenses 6 Total current assetS 464 441 Property, plant, and equipment Less accumulated depreciation 509 431 (80) (70) 361 Net property, plant, and equipment Long-term investments 429 28 34 Total assets $ 921 $836 Liabilities and Stockholders' Equity Accounts payable $ 304 $226 Accrued liabilities 70 80 Income taxxes payable 71 65

Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 This Last Year Year Assets Cash $ 10 $ 12 Accounts receivable 295 229 Inventory 150 194 Prepaid expenses 6 Total current assetS 464 441 Property, plant, and equipment Less accumulated depreciation 509 431 (80) (70) 361 Net property, plant, and equipment Long-term investments 429 28 34 Total assets $ 921 $836 Liabilities and Stockholders' Equity Accounts payable $ 304 $226 Accrued liabilities 70 80 Income taxxes payable 71 65

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter7: Operating Assets

Section: Chapter Questions

Problem 24CE

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