Preparing a Balance Sheet, Computing Net Income, and Understanding Equity Transactions At the beginning of 2015, Barth Company reported the following balance sheet. Liabilities Assets Cash Accounts Receivable Equipment Land Total Assets $2,400 Accounts Payable 7,350 5,000 Common Stock 23,750 25,000 Retained Earnings 10,000 $39,750 Total Liabilities and Equity $39,750 Equipment Land Required a. At the end of 2015, Barth Company reported the following assets and liabilities: Cash, $4,400; Accounts Receivable, $9,200; Equipment, $4,500; Land, $25,000; and Accounts Payable, $3,750. Prepare a year-end balance sheet for Barth. (Hint: Report equity as a single total.) Assets + ÷ $ Equity + $ $6,000 BARTH COMPANY Balance Sheet December 31, 2015 Liabilities. Equity + $ $ b. Assuming that Barth did not issue any common stock during the year but paid $6,000 cash in dividends, what was its net income or net loss for 2015?
Preparing a Balance Sheet, Computing Net Income, and Understanding Equity Transactions At the beginning of 2015, Barth Company reported the following balance sheet. Liabilities Assets Cash Accounts Receivable Equipment Land Total Assets $2,400 Accounts Payable 7,350 5,000 Common Stock 23,750 25,000 Retained Earnings 10,000 $39,750 Total Liabilities and Equity $39,750 Equipment Land Required a. At the end of 2015, Barth Company reported the following assets and liabilities: Cash, $4,400; Accounts Receivable, $9,200; Equipment, $4,500; Land, $25,000; and Accounts Payable, $3,750. Prepare a year-end balance sheet for Barth. (Hint: Report equity as a single total.) Assets + ÷ $ Equity + $ $6,000 BARTH COMPANY Balance Sheet December 31, 2015 Liabilities. Equity + $ $ b. Assuming that Barth did not issue any common stock during the year but paid $6,000 cash in dividends, what was its net income or net loss for 2015?
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter15: Investments And Fair Value Accounting
Section: Chapter Questions
Problem 18E
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![Preparing a Balance Sheet, Computing Net Income, and Understanding Equity Transactions
At the beginning of 2015, Barth Company reported the following balance sheet.
Assets
Cash
Accounts Receivable
Equipment
Land
Total Assets
Equipment
Land
$
$2,400 Accounts Payable
7,350
5,000 Common Stock
23,750
25,000 Retained Earnings
10,000
$39,750 Total Liabilities and Equity $39,750
Required
a. At the end of 2015, Barth Company reported the following assets and liabilities: Cash, $4,400; Accounts Receivable, $9,200; Equipment, $4,500; Land, $25,000; and
Accounts Payable, $3,750. Prepare a year-end balance sheet for Barth. (Hint: Report equity as a single total.)
Assets
+
Liabilities
$
◆ $
Equity
$6,000
BARTH COMPANY
Balance Sheet
December 31, 2015
Liabilities
Equity
→
→
⇒
$
b. Assuming that Barth did not issue any common stock during the year but paid $6,000 cash in dividends, what was its net income or net loss for 2015?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fbdc9b21b-d71c-4cf6-b619-32e22bb50e87%2Fd3f9d54a-36cd-4267-ad0f-6dadd09d50e0%2Fein7vpb_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Preparing a Balance Sheet, Computing Net Income, and Understanding Equity Transactions
At the beginning of 2015, Barth Company reported the following balance sheet.
Assets
Cash
Accounts Receivable
Equipment
Land
Total Assets
Equipment
Land
$
$2,400 Accounts Payable
7,350
5,000 Common Stock
23,750
25,000 Retained Earnings
10,000
$39,750 Total Liabilities and Equity $39,750
Required
a. At the end of 2015, Barth Company reported the following assets and liabilities: Cash, $4,400; Accounts Receivable, $9,200; Equipment, $4,500; Land, $25,000; and
Accounts Payable, $3,750. Prepare a year-end balance sheet for Barth. (Hint: Report equity as a single total.)
Assets
+
Liabilities
$
◆ $
Equity
$6,000
BARTH COMPANY
Balance Sheet
December 31, 2015
Liabilities
Equity
→
→
⇒
$
b. Assuming that Barth did not issue any common stock during the year but paid $6,000 cash in dividends, what was its net income or net loss for 2015?
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