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customers, durilng 33. İnferring cash flows from balance sheet and income statement data. (Based on a problem prepared by Stephen A. Zeff.) You work for the Plains State Bank as an analyst special- izing in the financial statements of small businesses seeking loans from the bank. Digit Retail Enterprises Inc. provides you with its balance sheet for December 31, 2012 and 2013 (Exhibit 6.21), and its income statement for 2013 (Exhibit 6.22). Digit Retail Enterprises, Inc., acquired no new property, plant, and equipment during the year. a. Calculate the amount of cash received from customers during 2013. b. Calculate the acquisition cost of merchandise purchased during 2013. c. Calculate the amount of cash paid to suppliers of merchandise during 2013. d. Calculate the amount of cash paid to salaried employees during 2013. Digit Retail Enterprises, Inc. Balance Sheet EXHIBIT 6.21 (Problem 33) December 31, 2012 December 31, 2013 ASSETS Current Assets Cash.. $ 50,000 $ 36,000 38,000 23,000 Accounts Receivable 7,500 Notes Receivable 100 Interest Receivable Merchandise Inventory. 65,000 48,000 12,000 9,000 Prepaid Insurance. 2,000 Prepaid Rent $165,000 $125,600 Total Current Assets. Property, Plant, and Equipment At Cost.... $ 90,000 $100,000 (35,000) $ 55,000 (20,000) $ 80,000 Less Accumulated Depreciation. Net. $220,000 $205,600 Total Assets LIABILITIES AND SHAREHOLDER'S EQUITY Current Liabilities $ 20,000 $ 18,000 Accounts Payable-Merchandise Suppliers. Salaries Payable Rent Payable 2,800 2,100 3,000 6,100 8,500 Advances from Customers. Note Payable Dividends Payable. 5,500 2,600 4,200 Other Current Liabilities. 3,700 1,300 $ 43,700 $ 34,100 Total Current Liabilities Shareholders' Equity Common Stock $164,500 $160,000 11,800 11,500 Retained Earnings, Total Shareholders' Equity. $176,300 $220,000 $171,500 $205,600 Total Liabilities and Shareholders' Equity...

customers, durilng 33. İnferring cash flows from balance sheet and income statement data. (Based on a problem prepared by Stephen A. Zeff.) You work for the Plains State Bank as an analyst special- izing in the financial statements of small businesses seeking loans from the bank. Digit Retail Enterprises Inc. provides you with its balance sheet for December 31, 2012 and 2013 (Exhibit 6.21), and its income statement for 2013 (Exhibit 6.22). Digit Retail Enterprises, Inc., acquired no new property, plant, and equipment during the year. a. Calculate the amount of cash received from customers during 2013. b. Calculate the acquisition cost of merchandise purchased during 2013. c. Calculate the amount of cash paid to suppliers of merchandise during 2013. d. Calculate the amount of cash paid to salaried employees during 2013. Digit Retail Enterprises, Inc. Balance Sheet EXHIBIT 6.21 (Problem 33) December 31, 2012 December 31, 2013 ASSETS Current Assets Cash.. $ 50,000 $ 36,000 38,000 23,000 Accounts Receivable 7,500 Notes Receivable 100 Interest Receivable Merchandise Inventory. 65,000 48,000 12,000 9,000 Prepaid Insurance. 2,000 Prepaid Rent $165,000 $125,600 Total Current Assets. Property, Plant, and Equipment At Cost.... $ 90,000 $100,000 (35,000) $ 55,000 (20,000) $ 80,000 Less Accumulated Depreciation. Net. $220,000 $205,600 Total Assets LIABILITIES AND SHAREHOLDER'S EQUITY Current Liabilities $ 20,000 $ 18,000 Accounts Payable-Merchandise Suppliers. Salaries Payable Rent Payable 2,800 2,100 3,000 6,100 8,500 Advances from Customers. Note Payable Dividends Payable. 5,500 2,600 4,200 Other Current Liabilities. 3,700 1,300 $ 43,700 $ 34,100 Total Current Liabilities Shareholders' Equity Common Stock $164,500 $160,000 11,800 11,500 Retained Earnings, Total Shareholders' Equity. $176,300 $220,000 $171,500 $205,600 Total Liabilities and Shareholders' Equity...

Century 21 Accounting General Journal
Century 21 Accounting General Journal
11th Edition
ISBN:9781337680059
Author:Gilbertson
Publisher:Gilbertson
Chapter5: Cash Control Systems
Section: Chapter Questions
Problem 1ANFS
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customers, durilng 33. İnferring cash flows from balance sheet and income statement data. (Based on a problem prepared by Stephen A. Zeff.) You work for the Plains State Bank as an analyst special- izing in the financial statements of small businesses seeking loans from the bank. Digit Retail Enterprises Inc. provides you with its balance sheet for December 31, 2012 and 2013 (Exhibit 6.21), and its income statement for 2013 (Exhibit 6.22). Digit Retail Enterprises, Inc., acquired no new property, plant, and equipment during the year. a. Calculate the amount of cash received from customers during 2013. b. Calculate the acquisition cost of merchandise purchased during 2013. c. Calculate the amount of cash paid to suppliers of merchandise during 2013. d. Calculate the amount of cash paid to salaried employees during 2013. Digit Retail Enterprises, Inc. Balance Sheet EXHIBIT 6.21 (Problem 33) December 31, 2012 December 31, 2013 ASSETS Current Assets Cash.. $ 50,000 $ 36,000 38,000 23,000 Accounts Receivable 7,500 Notes Receivable 100 Interest Receivable Merchandise Inventory. 65,000 48,000 12,000 9,000 Prepaid Insurance. 2,000 Prepaid Rent $165,000 $125,600 Total Current Assets. Property, Plant, and Equipment At Cost.... $ 90,000 $100,000 (35,000) $ 55,000 (20,000) $ 80,000 Less Accumulated Depreciation. Net. $220,000 $205,600 Total Assets LIABILITIES AND SHAREHOLDER'S EQUITY Current Liabilities $ 20,000 $ 18,000 Accounts Payable-Merchandise Suppliers. Salaries Payable Rent Payable 2,800 2,100 3,000 6,100 8,500 Advances from Customers. Note Payable Dividends Payable. 5,500 2,600 4,200 Other Current Liabilities. 3,700 1,300 $ 43,700 $ 34,100 Total Current Liabilities Shareholders' Equity Common Stock $164,500 $160,000 11,800 11,500 Retained Earnings, Total Shareholders' Equity. $176,300 $220,000 $171,500 $205,600 Total Liabilities and Shareholders' Equity...
Transcribed Image Text:customers, durilng 33. İnferring cash flows from balance sheet and income statement data. (Based on a problem prepared by Stephen A. Zeff.) You work for the Plains State Bank as an analyst special- izing in the financial statements of small businesses seeking loans from the bank. Digit Retail Enterprises Inc. provides you with its balance sheet for December 31, 2012 and 2013 (Exhibit 6.21), and its income statement for 2013 (Exhibit 6.22). Digit Retail Enterprises, Inc., acquired no new property, plant, and equipment during the year. a. Calculate the amount of cash received from customers during 2013. b. Calculate the acquisition cost of merchandise purchased during 2013. c. Calculate the amount of cash paid to suppliers of merchandise during 2013. d. Calculate the amount of cash paid to salaried employees during 2013. Digit Retail Enterprises, Inc. Balance Sheet EXHIBIT 6.21 (Problem 33) December 31, 2012 December 31, 2013 ASSETS Current Assets Cash.. $ 50,000 $ 36,000 38,000 23,000 Accounts Receivable 7,500 Notes Receivable 100 Interest Receivable Merchandise Inventory. 65,000 48,000 12,000 9,000 Prepaid Insurance. 2,000 Prepaid Rent $165,000 $125,600 Total Current Assets. Property, Plant, and Equipment At Cost.... $ 90,000 $100,000 (35,000) $ 55,000 (20,000) $ 80,000 Less Accumulated Depreciation. Net. $220,000 $205,600 Total Assets LIABILITIES AND SHAREHOLDER'S EQUITY Current Liabilities $ 20,000 $ 18,000 Accounts Payable-Merchandise Suppliers. Salaries Payable Rent Payable 2,800 2,100 3,000 6,100 8,500 Advances from Customers. Note Payable Dividends Payable. 5,500 2,600 4,200 Other Current Liabilities. 3,700 1,300 $ 43,700 $ 34,100 Total Current Liabilities Shareholders' Equity Common Stock $164,500 $160,000 11,800 11,500 Retained Earnings, Total Shareholders' Equity. $176,300 $220,000 $171,500 $205,600 Total Liabilities and Shareholders' Equity...
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