Condensed financial data of Nash Company for 2020 and 2019 are presented below. NASHCOMPANY COMPARATIVE BALANCE SHEET ASOF DECEMBER 31, 2020 AND 2019 2020 2019 Cash $1,780 $1130 Receivables 1,740 1.290 Inventory 1,610 1,870 Plant assets 1,930 1,710 Accumulated depreciation (1.210 ) (1,150 ) Long-terminvestments (held-to-maturity) 1.290 1,440 $7.140 $6.290 Accounts payable $1.180 $900 Accrued liabilities 190 240 Bonds payable 1410 1.590 Common stock 1,920 1,690 Retained eamings 2,440 1,870 $7.140 $6.290 NASH COMPANY INCOMESTATEMENT FOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue $6.880 Cost of goods sold 4,650 Gross margin 2,230 Selling and administrative expenses 940 Income from operations 1.290 Other revenues and gains Gain on sale of investments 80 Income before tax 1.370 Income tax expense 540 Net income 830 Cash dividends 260 Income retained in business $570

Condensed financial data of Nash Company for 2020 and 2019 are presented below. NASHCOMPANY COMPARATIVE BALANCE SHEET ASOF DECEMBER 31, 2020 AND 2019 2020 2019 Cash $1,780 $1130 Receivables 1,740 1.290 Inventory 1,610 1,870 Plant assets 1,930 1,710 Accumulated depreciation (1.210 ) (1,150 ) Long-terminvestments (held-to-maturity) 1.290 1,440 $7.140 $6.290 Accounts payable $1.180 $900 Accrued liabilities 190 240 Bonds payable 1410 1.590 Common stock 1,920 1,690 Retained eamings 2,440 1,870 $7.140 $6.290 NASH COMPANY INCOMESTATEMENT FOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue $6.880 Cost of goods sold 4,650 Gross margin 2,230 Selling and administrative expenses 940 Income from operations 1.290 Other revenues and gains Gain on sale of investments 80 Income before tax 1.370 Income tax expense 540 Net income 830 Cash dividends 260 Income retained in business $570

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter10: Stockholder's Equity

Section: Chapter Questions

Problem 76E

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