Liabilities and Stockholdors' Equity Accounts payable... Wages payable... Income tax payable Bonds payable. Common stock. ... Retained earnings Total liabilities and equity . . .. $ 7,000 9,000 7,000 130,000 90,000 86,000 $ 10,000 6,000 .... 8,000 ... 75,000 90,000 59,000 $329,000 $248,000

Financial Accounting Intro Concepts Meth/Uses
14th Edition
ISBN:9781285595047
Author:Weil
Publisher:Weil
Chapter1: Introduction To Business Activities And Overview Of Financial Statements And The Reporting Process
Section: Chapter Questions
Problem 23E
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Cash dividends of $29,000 were declared and paid during 20X7.  Also in 20X7, PPE was purchased for cash, and bonds payable were issued for cash.  Bond interest is paid semiannually on June 30 and December 31.  Accounts payable relate to merchandise purchases.

    1. Compute the change in cash that occurred during 20X7.
    2. Prepare and 20X7 statement of cash flows using the indirect method.
Doc. 31, 2017
Dec. 31, 2016
Liabilities and Stockholders' Equity
Accounts payable...
Wages payable....
Income tax payable .
Bonds payable ...
Common stock...
Retained earnings
Total liabilities and equity . ..
$ 7,000
9,000
7,000
130,000
90,000
86,000
$ 10,000
6,000
8,000
75,000
...
...
90,000
59,000
$329,000
$248,000
Transcribed Image Text:Doc. 31, 2017 Dec. 31, 2016 Liabilities and Stockholders' Equity Accounts payable... Wages payable.... Income tax payable . Bonds payable ... Common stock... Retained earnings Total liabilities and equity . .. $ 7,000 9,000 7,000 130,000 90,000 86,000 $ 10,000 6,000 8,000 75,000 ... ... 90,000 59,000 $329,000 $248,000
WOLFF COMPANY
Income Statoment
For Year Ended December 31, 2017
Sales......
$635,000
Cost of goods sold..
Wages expense
Insurance expense.
$430,000
86,000
Depreciation expense..
Interest expense. .
Income tax expense.
8,000
17,000
9,000
29,000
579,000
Net income.....
$ 56,000
WOLFF COMPANY
Balanco Shoot
Doc. 31, 2017
Dec. 31, 2016
Assets
Cash.....
$ 11,000
$ 5,000
..
Accounts receivable..
Inventory.....
Prepaid insurance..
PPE. ....
Accumulated depreciation.
41,000
90,000
5,000
250,000
32,000
60,000
7,000
195,000
(68,000)
(51,000)
Total assets..
$329,000
$248,000
Transcribed Image Text:WOLFF COMPANY Income Statoment For Year Ended December 31, 2017 Sales...... $635,000 Cost of goods sold.. Wages expense Insurance expense. $430,000 86,000 Depreciation expense.. Interest expense. . Income tax expense. 8,000 17,000 9,000 29,000 579,000 Net income..... $ 56,000 WOLFF COMPANY Balanco Shoot Doc. 31, 2017 Dec. 31, 2016 Assets Cash..... $ 11,000 $ 5,000 .. Accounts receivable.. Inventory..... Prepaid insurance.. PPE. .... Accumulated depreciation. 41,000 90,000 5,000 250,000 32,000 60,000 7,000 195,000 (68,000) (51,000) Total assets.. $329,000 $248,000
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