NATIONAL CO.: INCOME STATEMENTS FOR YEAR ENDING DECEMBER 31 (MILLIONS OF PHP) 2022 P3,600.0 P3,000.0 3.060.0 2.550.0 P 540.0 _90.0 P 450.0 65.0 P 385.0 154.0 P 231.0 P 181.5 2021 Sales Operating costs (excluding depreciation and amortization) É BITDA Depreciation and amortization E arnings before interest and taxes P 450.0 75.0 P 375.0 Interest E arnings before taxes Taxes (40%) Net income available to common stockholders 60.0 P 315.0 126.0 P 189.0 P 13.2 Common dividends NATIONAL CO.: BALANCE SHEETS FOR YEAR ENDING DECEMBER 31 (MILLIONS OF PHP) 2022 2021 Assets: Cash and marketable securities P 36.0 540.0 P 30.0 450.0 Accounts receivable _540.0 P1,116.0 900.0 P2.016.0 600.0 P1,080.0 750.0 P1.830.0 Inventories Total current assets Net plant and equ ipment Total assets Liabilities and equity: Accounts payable Notes payable Accruals Total current lia bilities P 324.0 201.0 P 270.0 155.0 216.0 P 741.0 450.0 P1,191.0 150.0 180.0 P 605.0 450.0 P1,055.0 150.0 Long-term bonds Total debt Common stock (50 million shares) Retained earnings Total com mon equity Total liabilties and equity 675.0 P 825.0 P2.016.0 625.0 P 775.0 P1.830.0

NATIONAL CO.: INCOME STATEMENTS FOR YEAR ENDING DECEMBER 31 (MILLIONS OF PHP) 2022 P3,600.0 P3,000.0 3.060.0 2.550.0 P 540.0 _90.0 P 450.0 65.0 P 385.0 154.0 P 231.0 P 181.5 2021 Sales Operating costs (excluding depreciation and amortization) É BITDA Depreciation and amortization E arnings before interest and taxes P 450.0 75.0 P 375.0 Interest E arnings before taxes Taxes (40%) Net income available to common stockholders 60.0 P 315.0 126.0 P 189.0 P 13.2 Common dividends NATIONAL CO.: BALANCE SHEETS FOR YEAR ENDING DECEMBER 31 (MILLIONS OF PHP) 2022 2021 Assets: Cash and marketable securities P 36.0 540.0 P 30.0 450.0 Accounts receivable _540.0 P1,116.0 900.0 P2.016.0 600.0 P1,080.0 750.0 P1.830.0 Inventories Total current assets Net plant and equ ipment Total assets Liabilities and equity: Accounts payable Notes payable Accruals Total current lia bilities P 324.0 201.0 P 270.0 155.0 216.0 P 741.0 450.0 P1,191.0 150.0 180.0 P 605.0 450.0 P1,055.0 150.0 Long-term bonds Total debt Common stock (50 million shares) Retained earnings Total com mon equity Total liabilties and equity 675.0 P 825.0 P2.016.0 625.0 P 775.0 P1.830.0

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 30CE

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Financial information for Powell Panther Corporation is shown below: Powell Panther Corporation: Income Statements for Year Ending December 31 (millions of dollars) 2021 2020 Sales $ 2,500.0 $ 2,000.0 Operating costs excluding depreciation and amortization 1,938.0 1,700.0 EBITDA $ 562.0 $ 300.0 Depreciation and amortization 62.0 54.0 Earnings before interest and taxes (EBIT) $ 500.0 $ 246.0 Interest 55.0 44.0 Earnings before taxes (EBT) $ 445.0 $ 202.0 Taxes (25%) 178.0 80.8 Net income $ 267.0 $ 121.2 Common dividends $ 240.3 $ 97.0 Powell Panther Corporation: Balance Sheets as of December 31 (millions of dollars) 2021 2020 Assets Cash and equivalents $ 36.0 $ 30.0 Accounts receivable 375.0 300.0 Inventories 468.0 360.0 Total current assets $ 879.0 $ 690.0 Net plant and equipment 621.0 540.0 Total assets $ 1,500.0 $ 1,230.0 Liabilities and Equity Accounts payable $ 250.0 $ 200.0 Accruals 75.0…
The comparative statement of financial position for Moose Jaw Ltd. is as follows:Moose Jaw Ltd.Comparative Statement of Financial PositionAs at December 312021 2020Cash $20,500 $12,500Accounts receivable 34,000 25,500Inventories 20,000 30,000Prepaid insurance 2,500 2,000Equipment 102,000 90,000Accumulated depreciation - equipment (22,500) (12,500)Total assets $156,500 $147,500Accounts payable $23,000 $20,000Interest payable 2,000 3,000Wages payable 4,000 2,000Income taxes payable 4,000 5,000Long-term note payable 30,000 34,500Common shares 65,000 65,000Retained earnings 28,500 18,000Total liabilities and equity $156,500 $147,500More information about Moose Jaw’s operations for 2021:• A machine which the company paid $10,000 for was sold for a gain of$1,000. The equipment’s accumulated depreciation was $7,000.• The company had net income for of $13,500.RequiredConstruct the operating activities section of Moose Jaw Ltd.’s statement of cashflows using the indirect method. Use proper…
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