Please compute for the following:1. Total noncurrent assets2. Total liabilities and shareholders' equity Problem 2: ABC Company was formed on January 1, 2020. The entity reported thefollowing financial statements pertaining to the first year of operations:Income StatementSalesCost of goods soldInventory – January 1PurchasesP5,000,000P1,000,0003.100.000P4,100,000900.000)Goods available for saleInventory - December 31Gross profitOperating expensesExpenses excluding depreciationDepreciationIncome before income taxLess: Income tax expenseNet Income3.200.000P1,800,000P 700,000100.000800.000P1,000,000350.000P 650,000Statement of Financial PositionAssetsCashAccounts receivableInventoryLandP 500,000600,000900,000800,000Equipment (Life – 10 years)Accumulated depreciationTotal assetsP1,000,000100.000900.000P3.700,000Liabilities and Shareholders' EquityAccounts payableNotes payableIncome tax payableP 500,000400,000350.000 P1,250,000Share capitalRetained EarningsNet IncomeDividendsP2,000,000P 650,000( 200.000)450.000 2.450.000Total liabilities and shareholders' equityP3,700,000Current cost information on December 31, 2020:Cost of goods sold at average current costInventoryP3,500,0001,000,0001,500,0001,600,000LandEquipmentRequired: In a restated set of financial statements prepared in accordance with thecurrent cost accounting, how much would appear as1. Realized holding gain2. Unrealized holding gain3. Net income4. Total noncurrent assets5. Total liabilities and shareholders' equity

The balance sheet is the statement of financial position of the business.

Answered: Please compute for the following: 1.…

Business

Accounting

Please compute for the following: 1. Total noncurrent assets 2. Total liabilities and shareholders' equity

Century 21 Accounting General Journal

11th Edition

ISBN:9781337680059

Author:Gilbertson

Publisher:Gilbertson

Chapter22: End-of-fiscal-period Work For A Corporation

Section: Chapter Questions

Problem 2AP

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