Cullumber Company has retained earnings of $ 1,740,000 at January 1, 2017. Net income during 2017 was $ 370,000 and cash dividends declared during the year totaled $ 119,000. Prepare a retained earnings statement for the year ended December 31, 2017. (List items that increase retained earnings first.) CULLUMBER COMPANY Retained Earnings Statement $ $
Q: These financial statement items are for Wildhorse Co. at year-end, July 31, 2017. Salaries and wages…
A: Income statement: The financial statement which reports revenues and expenses from business…
Q: Windsor Corporation has retained earnings of $706,000 at January 1, 2020. Net income during 2020 was…
A: Ending Retained earnings balance = Beginning Retained earnings balance + Net Income - Dividend…
Q: Blake Knudson owns and operates Grab Bag Delivery Services. On January 1, 2018, Retained Earnings…
A: Retained EarningsRetained Earnings refers to that amount of net profit which are saved by the…
Q: As of December 31, 2015, Lincolnshire Company had assets of $1,850,000 and liabilities of $570,000.…
A: As per accounting equation, Assets = Liabilities + Owner's Equity Or Owner's Equity =assets -…
Q: Sandhill construction company earned $439,000 during the year ended June 30, 2017. After paying out…
A: Retained earnings refer to the amount earned by the organization till the date of preparation of the…
Q: Conn Co. reported a retained earnings balance of $400,000 at December 31, 2015. In August 2016, Conn…
A:
Q: Kingston, Inc. had beginning retained earnings of $135,000 on January 1, 2018. During the year,…
A: Retained earnings: Retained earnings are that portion of profits which are earned by a company but…
Q: Portman Corporation has retained earnings of $675,000 at January 1, 2020. Net income during 2020 was…
A: Given information is: Portman Corporation has retained earnings of $675,000 at January 1, 2020. Net…
Q: Black Bulls Company reported a Retained Earnings balance of P150,000 on December 31, 2014. The…
A: Given that, Net income = P85000 Dividends declared and paid = P60000 Opening retained earnings =…
Q: As of December 1, 2014, Welsh company. Had Retained earnings of £5,000 dividends of £2000, and net…
A:
Q: Carla Vista Construction Company earned $409,000 during the year ended June 30, 2017. After paying…
A: Retained earnings: These are defined as the residual or left over income of the business after…
Q: Sandhill Corporation reported current assets of $3,498,000 for the year ending December 31, 2017 and…
A: Cash Flow Statement: It is a statement where the company can measure the ending balance by…
Q: Pong Corp has retained earnings of 693.600 at January 1, 2020. Net income during 2020 was 1,546,000,…
A: Retained earnings are the amount which was retained by the organisation after all of its expenses…
Q: Portman Corporation has retained earnings of $675,000 at January 1, 2017. Net income during 2017 was…
A: Retained earnings: The accumulated income is retained with the company for future needs. Retained…
Q: On January 1, Payson Incorporated had a retained earnings balance of $36,000. During the year,…
A: Ending Balance of Retained Earnings = Beginning Balance of retained earnings + Net Income -…
Q: Willie Company's retained earnings increased $13,000 during 2014. What was Willie's 2014 net income…
A: 1. Retained Earnings - Retained Earnings is the retained accumulated profit of the company over the…
Q: Prepare the retained earning statement for the year assuming the balance in retained earnings on…
A: Statement of Retained Earnings shows the movement of retained earnings within the period.
Q: Doris Corporation has retained earnings of 684,800 at January 1, 2019. Net income during 2019 was…
A: Ending retained earnings formula: = Opening retained earnings + Income earned - cash dividend paid
Q: On January 1, Payson Inc. had a retained earnings balance of $20,000. During the year, Payson…
A: Ending Retained earnings balance = Beginning Retained earnings balance + Net Income - Dividend paid
Q: As of December 1, 2014, Welsh Company. Had Retained earnings of £10,000 dividends of £2000, and net…
A: Ending retained earning = Beginning retained earning + Net Income - Dividend
Q: On January 1, 2020, Ivanhoe Corporation had retained earnings of $544,000. During the year, Ivanhoe…
A: Retained Earnings = Beginning Retained Earnings + Net Income - Cash Dividends - Stock Dividends -…
Q: The following data pertains to Smith Consulting, Inc. for 2018. Compute its ending retained…
A: The question is based on the concept of Financial Accounting.
Q: Prepare a retained earnings statement for the year ended December 31, 2021 in proper format: Ladila…
A: Retained earnings statement is the statement created as notes to the financial statement that shows…
Q: Crane Corporation reported current assets of $3,494,000 for the year ending December 31, 2017 and…
A: Net Working Capital: The net working capital is the difference between Total current Assets and…
Q: Portman Corporation has retained earnings of $675,000 at January 1, 2017. Net income during 2017 was…
A: Retained earnings: Retained earnings are that portion of profits which are earned by a company but…
Q: These financial statement items are for Wildhorse Co. at year-end, July 31, 2017. $ 3,880 Salaries…
A: Classified balance sheet: The main elements of balance sheet assets, liabilities, and stockholders’…
Q: Towson Company’s Assets and Liabilities on January 1, 2016 were $85,600 and $62,400 respectively.…
A: Retained earnings are that part of profit which is reinvested in the business. It is the amount left…
Q: On January 1, 2020, Windsor, Inc. had retained earnings of $498,000. During the year, Windsor had…
A: Given that, January 1, 2020, Windsor, Inc. had retained earnings of $498,000 transactions for the…
Q: On December 31, 2016, Cantor Company reported Total Assets of $20,000 and Total equity of $15,000.…
A:
Q: Brisky Corporation had net sales of $2,400,000 and interest revenue of $31,000 during 2017. Expenses…
A: Multi-step income statement: The income statement represented in multi-steps with several subtotals…
Q: February 1, 2019, the balance of the retained earnings account of Blue Power Corporation was…
A: Retained earnings at the end are calculated by adding the net income to the opening retained earings…
Q: The company shows a balance of ₱299,500 as of December 31, 2018. During 2019, the company…
A: Formula: Ending Retained earnings = Beginning Retained Earnings + Net Income - Cash dividends paid
Q: Asure corp earned $339,000 during the year ended June 30, 2017. After paying out $225,794 in…
A: Ending retained earnings formula: =Beginning level of retained earnings + Net income of the year -…
Q: BE4-9 Portman Corporation has retained earnings of $675,000 at January 1, 2020. Net income during…
A: Statement of Retained Earnings is a financial statement that represents changes in earnings over a…
Q: Blossom Company has retained earnings of $ 1,540,000 at January 1, 2017. Net income during 2017 was…
A: Solution: Statement of retained Earnings for the year ended Dec 31, 2017 are as under:
Q: for the year 2016, net income of carol company is 20,000 and dividends declared are $6,000; what is…
A: To compute the ending balance of Retained earnings, the net income of the year is added in the…
Q: (Multiple-Step Statement with Retained Earnings Statement) Presented below is information related to…
A: Multi-step income statement: The income statement represented in multi-steps with several subtotals,…
Q: During 2014, Nonut Bakery paid out RM33,525 of common dividends. It ended the year with RM197,500 of…
A: Retained earnings and net income are related but distinct. There may be times when your business has…
Q: At September 1, 2017, Five-O Inc. reported retained earnings of $136,000. During the month, Five-O…
A: The retaining earnings is a credit balance account which shows the profits earned over operational…
Q: ABC Company reported retained earnings at December 31, 2017, of $310,000. .The following…
A: Retained Earnings: It is the amount of net income left after distribution of dividends to the…
Q: Strong construction company earned $439,000 during the year ended June 30, 2017. After paying out…
A: Retained earnings are the amount which was retained by the company after all of its expenses…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Prince Corporations accounts provided the following information at December 31, 2019: What should be the current balance of retained earnings? a. 520,000 b. 580,000 c. 610,000 d. 670,000Reinhardt Company reported revenues of $122,000 and expenses of $83,000 on its 2019 income statement. In addition, Reinhardt paid of dividends during 2019. On December 31, 2019, Reinhardt prepared closing entries. The net effect of the closing entries on retained earnings was a(n): a. decrease of $4,000. b. increase of $35,000. c. increase of $39,000. d. decrease of $87,000.Using the following Company W information, prepare a Retained Earnings Statement. Retained earnings balance January 1, 2019, $43,500 Net income for year 2019, $55,289 Dividends declared and paid for year 2019, $18,000
- The comparative balance sheet of Prime Sports Gear, Inc., at December 31, the end of the fiscal year, is as follows: Additional data obtained from the records of Prime Sports Gear are as follows: a. Net income for 2013 was 121,610. b. Depreciation reported on income statement for 2013 was 46,500. c. Purchased 165,000 of new equipment, putting 90,000 cash down and issuing 75,000 of bonds for the balance. d. Old equipment originally costing 19,500, with accumulated depreciation of 7,950, was sold for 8,000. e. Retired 60,000 of bonds. f. Declared cash dividends of 64,000. g. Issued 1,500 shares of common stock at 27 cash per share. Open the file CASHFLOW from the website for this book at cengagebrain.com. First, enter the formulas. Then, complete the worksheet in the manner described next. According to the problem, cash increased from 39,600 to 67,210 during the year. This is a 27,610 increase. To record this increase on the worksheet, move to row 17. Since this is the first account you are analyzing, enter the letter a in column C. Then enter 27610 in column D (a debit since cash increased). This brings the year-end balance (column G) to 67,210, its proper balance. Now move to the bottom part of the statement where you see the categories Operating Activities, Investing Activities, and so on. The credit side of the entry has to be entered here. The proper space for this cash entry is on row 59. Enter the letter a in cell E59 and 27610 in cell F59. Notice the totals at the bottom of the page (row 60) now agree. The next account balance that changed is accounts receivable. It increased by 9,035. To enter this change on the worksheet, enter the letter b in cell C18 and 9035 in cell D18 (again, a debit since accounts receivable increased). This brings the year-end balance in column G to 121,250, its proper balance. The change in accounts receivable balance is an operating activity adjustment (as explained in your textbook). Enter the credit side of this entry in cells E34 and F34, and enter the explanation Increase in accounts receivable in cell A34. Note: Your textbook probably shows Net income as the first item under Operating Activities. We will get to that later. The sequence in which you enter items on this worksheet is not important. All other balance sheet accounts must be analyzed in the same manner, placing appropriate debit or credit entries in the top part of the worksheet to obtain the proper balances in column G, and then entering the second side of the entry in the appropriate row on the bottom part of the worksheet. You should use letter references to identify all entries. Also, you must enter a description of the entry in column A under the appropriate activity category. Although a sequence of analyzing the balance sheet from top to bottom is suggested here, this order is not necessary. As mentioned earlier, your textbook may specify a different sequence. Also, note that some accounts may have both debit and credit adjustments to them. The worksheet is not a substitute for a statement of cash flows, but it does provide you with all the numbers you need to properly prepare one. You will be done with your analysis when: a. The individual account balances at December 31, 2013, as shown on the worksheet (column G) equal those shown in the given problem data. b. The transaction column totals are equal (cells D60 and F60). c. The sum of the operating, investing, and financing activities (cell G59) equals the change in cash (cell D59 or F59). When you are finished, enter your name in cell A1. Save your completed file as CASHFLOW2. Print the worksheet when done. Also print your formulas. Check figure: Total credits at 12/31/2013 (cell G31), 860,460.Statement of Retained Earnings Landon Corporation was organized on January 2, 2014, with the investment of $100,000 by each of its two stockholders. Net income for its first year of business was $85,200. Net income increased during 2015 to $125,320 and to $145,480 during 2016. Landon paid $20,000 in dividends to each of the two stockholders in each of the three years. Required Prepare a statement of retained earnings for the year ended December 31, 2016.The comparative balance sheet of Prime Sports Gear, Inc., at December 31, the end of the fiscal year, is as follows: Additional data obtained from the records of Prime Sports Gear are as follows: a. Net income for 2013 was 121,610. b. Depreciation reported on income statement for 2013 was 46,500. c. Purchased 165,000 of new equipment, putting 90,000 cash down and issuing 75,000 of bonds for the balance. d. Old equipment originally costing 19,500, with accumulated depreciation of 7,950, was sold for 8,000. e. Retired 60,000 of bonds. f. Declared cash dividends of 64,000. g. Issued 1,500 shares of common stock at 27 cash per share. You have been asked to prepare a statement of cash flows for Prime Sports Gear for 2013. Review the worksheet called CASHFLOW that has been provided to assist you in preparing the statement. The worksheet has been designed so that as you make entries in columns D and F, column G will be automatically updated. For example, FORMULA1 should be entered as =B17+D17F17. Columns C and E are to be used to enter letter references for each of the debit and credit entries on the worksheet.
- 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.Real-world annual report The financial statements for Nike, Inc. (NKE), are presented in Appendix E at the end of the text. The following additional information is available (in thousands): Instructions 1. Determine the following measures for the fiscal years ended May 31, 2017, and May 31, 2016. Round ratios and percentages to one decimal place. a. Working capital b. Current ratio c. Quick ratio d. Accounts receivable turnover e. Number of days sales in receivables f. Inventory turnover g. Number of days sales in inventory' h. Ratio of liabilities to stockholders equity i. Asset turnover j. Return on total assets, assuming interest expense is 82 million for the year ending May 31. 2017, and 33 million for the year ending May 31, 2016. k. k. Return on common stockholders equity l. Price-eamings ratio, assuming that the market price was 52.81 per share on May 31, 2017, and 54.35 per share on May 31, 2016. m. m. Percentage relationship of net income to sales 2. What conclusions can be drawn from these analyses?