Kindly help me solve part 4. E 18-1ComprehensiveThe following is from the 2018 annual report of Kaufman Chemicals, Inc.:Statements of Comprehensive IncomeYears Ended December 31income• LO18-2201820172016Net income$856$766$594Other comprehensive income:Change in net unrealized gains on investments,net of tax of $22, ($14), and $15 in 2018, 2017,and 2016, respectively34(21)23Other(2)$888(1)$744$618Total comprehensive incomeKaufman reports accumulated other comprehensive income in its balance sheet as a component of shareholdersequity as follows:($ in millions)20182017Shareholders' equity:Common stock355355Additional paid-in capitalRetained earningsAccumulated other comprehensive income8,5676,5448,5675,98810775Total shareholders'equity$15,573$14,985Required:1. What is comprehensive income and how does it differ from net income?2. How is comprehensive income reported in a balance sheet?3. Why is Kaufman's 2018 balance sheet amount different from the 2018 amount reported in the disclosurenote? Explain.4. From the information provided, determine how Kaufman calculated the $107 million accumulated othercomprehensive income in 2018.

Accumulated other comprehensive income is part of the stockholders' equity.

Answered: Kindly help me solve part 4.

Financial & Managerial Accounting

13th Edition

ISBN:9781285866307

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter13: Investments And Fair Value Accounting

Section: Chapter Questions

Problem 14EX

See similar textbooks

Similar questions

Profitability ratios The following selected data were taken from the financial statements of Robinson Inc. for December 31, 2016, 2015 and 2014: The 2016 net income was 372,000, and the 2015 net income was 492,000. No dividends on common stock were declared between 2014 and 2016. a. Determine the rate earned on total assets, the rate earned on stockholders equity, and the rate earned on common stockholders equity for the years 2015 and 2016. Round to one decimal place. b. What conclusions can be drawn from these data as to the companys profitability?
Changes in current operating assets and liabilities-indirect method Huluduey Corporations comparative balance sheet for current assets and liabilities was as follows: Dec. 31, 2016 Dec. 31, 2015 Accounts receivable 18,000 14,400 Inventory 34,800 29,700 Accounts payable 27,600 20,700 Dividends payable 8,400 10,800 Adjust net income of 160,000 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.
(Appendix 21.1) Comprehensive The following are Adair Companys December 31, 2018, post-closing trial balance and the December 31, 2019, adjusted trial balance: A review of the accounting records reveals the following additional information for 2019: Investments in bonds to be held to maturity were purchased at year-end for 8,600. A building was purchased for 28,000. A note payable was issued for 9,000. Common stock was issued for 14,500. Dividends of 6,500 were declared and paid. Required: 1. Using the direct method for operating cash flows, prepare a spreadsheet to support the 2019 statement of cash flows for Adair. 2. Prepare the statement of cash flows. (A separate schedule reconciling net income to cash provided by operating activities is not necessary.)

Recommended textbooks for you

Financial & Managerial Accounting

Accounting

ISBN:

9781285866307

Author:

Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:

Cengage Learning

Accounting (Text Only)

Accounting

ISBN:

9781285743615

Author:

Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:

Cengage Learning

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

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

Publisher:

Cengage Learning

Financial & Managerial Accounting

Accounting

ISBN:

9781285866307

Author:

Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:

Cengage Learning

Accounting (Text Only)

Accounting

ISBN:

9781285743615

Author:

Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:

Cengage Learning

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

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

Publisher:

Cengage Learning

Cornerstones of Financial Accounting

Accounting

ISBN:

9781337690881

Author:

Jay Rich, Jeff Jones

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS