PROBLEMS ON COMPANY FINAL ACCOUNTS Premier Co. Ltd has an authorised capital of P 6,00,000 in equity shares of P 10 each. It had the following balances on 31.03.2013. Calls in arrears 7,500 Premises plant and Machinery 3,00,000 3,30,000 37,500 75,000 7,200 87,000 Interim Dividend Stock (01.04.2012) Fixtures Debtors Goodwill 25,000 Cash in Hand 760 Cash at Bank 39,900 1,85,000 5,000 Purchases Preliminary expenses Wages General expenses Freight and carriage Salaries 84,865 16,835 13,115 14,500 5,725 Directors Fees Bad Debts 2,100 9,000 Debenture Interest paid Called up capital 4,00,000 3,00,000 14,500 50,000 4,15,000 6% Debentures Profit & Loss Account (01.04.2012)- cr Creditors Sales General Reserve 25,000 3,500 Bad Debt provision (01.04.2912)
Q: révenue during November was $131,500. The revenue activity variance is: $6,700F. O $9,600F. $9,600U.…
A: Revenue Activity Variance measures the difference between what we had planned and what we had…
Q: A cafe currently offers a cup of cafe latte for P100. The variable costs are P58 per cup, and 10,000…
A: Break even analysis is often use by the firm to analyse the various parameters of sales, Variable…
Q: ABC Company operates a production process to convert a single material into three separate items,…
A: Joint cost is the cost which incurred during a process of producing two or more units from a single…
Q: 61 If the home office ships merchandise to the branch at an amount above the cost, at what amount…
A: A BRANCH IS A UNIT OF BUSINESS ENTERPRISE LOCATED SOME DISTANCE FROM HOME OFFICE . A BRANCH…
Q: Here is some financial statement data for Nestlé (in millions of Swiss francs): 2020 Total current…
A: Working note: Average inventory = (beginning inventory + ending inventory) /2 = (11982+10101) /2 =…
Q: Required: 1. What is the financial advantage (disadvantage) of accepting the special order from the…
A: Solution:- 1)Calculation of the financial advantage (disadvantage) of accepting the special order…
Q: 1. Prepare the following monthly budgets for Greiner Company for the first quarter of the coming…
A: Production Budget refers to an Expected units to be produced for a period on the basis of Budgeted…
Q: Questlon 5. Orange, Inc. is a corporation listed on the New York Stock Exchange (NYSE). Which of the…
A: Hi student Since there are multiple questions, we will answer only first question.
Q: Explain the role of the Central Bank and critically evaluate the advantages and disadvantages of…
A: Central Bank play an important role in countries financial stability and financial soundness of a…
Q: Assuming a large population and holding all factors constant, what is the expected effect of a…
A: Hi student Since there are multiple questions, we will answer only first question.
Q: On January 1, 2021, A Company acquired a 50% interest in B for P60,000,000. A Company already held…
A: Goodwill is the intangible asset which indicates the market value or good worth of the company in…
Q: Which of the following would be the best choice for CFC to do to raise the money it needs?
A: As per our protocol we provide solution to only one question if in case of multiple questions and…
Q: Question Five During the year ended 31 December 2021, F Manufacturing Co. Ltd accepted bills of…
A:
Q: Fick Corp. decided to establish a petty cash fund to help ensure internal control over its small…
A: >Petty Cash fund is created out of cash account to pay off certain small and petty amounts of…
Q: How much is the Output VAT? * The following transactions pertaion to RTT operation in 2022:…
A: Output tax is the VAT that is calculated and charged on the sale of goods and services from…
Q: The new shares which are issued in a rights issue are offered to the existing shareholders at…
A: The company need capital for expansion and growth but the capital is not available easily and…
Q: On January 1, 2021, Apollo Company acquired P4,000,000 of 12% face amount bonds for P3,767,000 to be…
A: Bonds are the financial securities issued in order to raise funds from the market.
Q: Prepare a schedule of cash receipts for May and June. Round your intermediate computations and final…
A: Cash budget refers to a budget which shows the estimated cash flows of the company during a specific…
Q: Marter Co. filed a bankruptcy petition and liquidated its noncash assets. Marter was paying forty…
A: Mortgage is a form of loan where an asset is produced as a collateral in order to receive the funds…
Q: The following info aiapUPAP SL UOI Started this month 80,000 units Beginning WIP (60% incomplete)…
A: The solution is given in the explanation area. Explanation:
Q: During 2019, ABC Company issued 50,000, P100 par value convertible preference shares for P120 per…
A: Step 1 ABC Company issued 50,000, P100 par value convertible preferenceshares for P120 per share…
Q: Winny's Office Furniture has a contribution margin ratio of 16%. If fixed costs are $183,800, how…
A: Introduction: Break even point: The point where there is no profit nor loss for the units sold…
Q: wage offers are uniformly distributed between 10 and 60, what is the smallest wage you should…
A: A wage is a monetary sum paid by an employer to an employee for work accomplished during a specific…
Q: Apart from the basic costs to build up a unit rate, explain FIVE other factors you will consider in…
A: Usually, the price is estimated by the estimators in context of building a firm. The basic cost that…
Q: What is meant by "an individual dies intestate?" Select one: a.That person did create a will before…
A: There are certain unwanted situations in the life and there are sudden death of person and many time…
Q: Please make a cost by nature Income Statement for the following points: a) Write off (in minus) of…
A: Income statement is one of the measure of profitability of the business. It shows all incomes and…
Q: The performance of the company and individual stores in June 2018 is typical of average monthly…
A: Revenue center is one of the responsibility center. This center is a separate operating department…
Q: Medical Center Group Company. Body Beautiful charged Ms. Ganda the amount of P224,000 (inclusive of…
A: DST is documentary stamp duty that is being charged by the government on the mortgage of property.
Q: On May 1, Beach, Inc. Factored $700,000 of accounts receivable with Ever Finance on a with recourse…
A: Accounts Receivable Factoring: - Accounts Receivable Factoring is a financial product used by firms…
Q: An existing machine in a factory has an annual maintenance cost of Php 40,000. A new and more…
A: An existing machine in a factory has an annual maintenance cost of Php 40,000. If same cost to be…
Q: popular compact disc (CD) label at a price of eith 5/3/2021 2:31 PM
A: Payoff Matrix is used in the game theory, where the strategies of a player is listed in a row and…
Q: Ana Chavarria, front office manager of The Times Hotel, and Lorraine DeSantes, the hotel's director…
A: Here discuss about the details of the Arrangement of first meeting agenda and suggestions which are…
Q: When the company uses the normal costing system, Work in Process is not debited for: Actual…
A: Under Normal costing method, Direct Material Costs, Direct Labor Costs and factory overheads are…
Q: Chanel's interest in the partnership is P 110,000. Chloe buys Chanel's interest for P 120,000.…
A: Solution: As Chloe buys Chanel's interest, Chanel's capital in partnership will transferred to Chloe…
Q: DDD Corporation, a domestic manufacturing corporation, had gross sales of P100,000,000 for fiscal…
A: Net Income is the calculation of the measure of profitability of the business. This is calculated by…
Q: Under what circumstances does an estate have an executor
A: An Executor of Estate is a person or institution appointed by a court who is responsible for…
Q: To improve her body shape Ms. Ganda decided to undergo procedure and sought the services of the Body…
A: VAT i.e. Value Added Tax is an indirect form of tax. It majorly eliminates cascading effect of tax…
Q: Calvin and Klein are partners sharing profits 60% and 40%. On January 1, they decided to admit…
A: The partnership comes into existence when two or more persons agree to do the business and share…
Q: Green Earth Landscaping Company provides monthly and weekly landscaping and maintenance services to…
A: Total administrative expense = Salaries + Insurance + Depreciation + Accounting services
Q: (a) Explain what the companies should đo with their proits, onditional to the vailability of absence…
A: in order to run the business that the need of profit. the profit is owned by the business through…
Q: GHI Company compensates its employees for certain absences for vacation and sickness. Employees are…
A: The employer provides several benefits to the employee and the expenses related to these are…
Q: GHI Company compensates its employees for certain absences for vacation and sickness. Employees are…
A: Compensated absences are those leaves taken by the employee for which company will pay if employee…
Q: The Regal Cycle Company manufactures three types of bicycles-a dirt bike, a mountain bike, and a…
A: Income statement is the financial statement that shows the revenue and expenses of the company which…
Q: The following data were taken from the records of C5 Drinks Company for the years ending Year I and…
A: The income statement can be prepared using various methods as absorption costing and variable…
Q: a. Provide the entry for Stonewall Corporation on January 1, 2020, for the bond issuance. b. Provide…
A: Introduction:- Journal entry is the first stage of accounting process. It is used to record business…
Q: SkyChefs, Incorporated, prepares in-flight meals for a number of major airlines. One of the…
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: Al Rahami Shop started the year with total assets of OMR210,000 and total liabilities of OMR120,000.…
A: Introduction: Income statement: All revenues and expenses are to be shown in income statement. It…
Q: laxabie esent a positive adjustment? А. Capital loss carryovers В. Net operating loss deduction C.…
A: Here the question is regarding which is not a positive adjustment in computing the accumulated…
Q: S1: A joint venture is consolidated when preparing consolidated financial statements. S2: Working…
A: In the given case the joint venture is required to follow the proportionate consolidated method for…
Q: How much is the VAT Payable in June? Given the following data during the 2nd quarter of 2022 Month…
A: VAT means the value added tax which is levied on sale and purchase . Vat paid on purchases is booked…
Step by step
Solved in 4 steps
- Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 0 par common stock at 0, receiving cash. b. Issued 4,000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 375. The bonds are classified as a held- to-maturitv long-term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0.60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 545, including commission. p. Recorded the payment of semiannual interest on the bonds issued in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method, q. Accrued interest for three months on the Dream Inc. bonds purchased in (1). r. Pinkberry Co. recorded total earnings of 240,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39.02 per share on December 31, 2016. The investment is adjusted to fair value, using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments had a beginning balance of zero. Instructions Journalize the selected transactions. After all of the transactions for the year ended December 31, 2016, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step income statement for the year ended December 31, 2016, concluding with earnings per share. In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. (Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 2016. c. Prepare a balance sheet in report form as of December 31, 2016. Income statement data: Advertising expense 150,000 Cost of merchandise sold 3,700,000 Delivery expense 30,000 Depreciation expense -office buildings and equipment 30,000 Depreciation expensestore buildings and equipment 100,000 Dividend revenue 4,500 Gain on sale of investment 4,980 Income from Pinkberry Co. investment 76,800 Income tax expense 140,500 Interest expense 21,000 Interest revenue 2,720 Miscellaneous administrative expense 7.500 Miscellaneous selling expense 14,000 Office rent expense 50,000 Office salaries expense 170,000 Office supplies expense 10,000 Sales 5,254,000 Sales commissions 185,000 Sales salaries expense 385,000 Store supplies expense 21,000 Retained earnings and balance sheet data: Accounts payable 194,300 Accounts receivable 545,000 Accumulated depreciationoffice buildings and equipment 1,580,000 Accumulated depreciationstore buildings and equipment 4,126,000 Allowance for doubtful accounts 8,450 Available for sale investments (at cost) 260,130 Bonds payable. 5%. due 2024 500,000 Cash 246,000 Common stock, 20 par (400,000 shares authorized; 100,000 shares issued. 94,600 outstanding) 2,000,000 Dividends: Cash dividends for common stock 155,120 Cash dividends for preferred stock 100,000 Goodwill 500,000 Income tax payable 44,000 Interest receivable 1,125 Investment in Pinkberry Co. stock (equity method) 1,009,300 Investment in Dream Inc. bonds (long term) 90,000 Merchandise inventory [December 31, 2016). at lower of cost (FIFO) or market 778,000 Office buildings and equipment 4.320,000 Paid-in capital from sale of treasury stock 13,000 Excess of issue price over parcommon stock 886,800 Excess of issue price over parpreferred stock 150,000 Preferred 5% stock. 80 par (30,000 shares authorized; 20,000 shares issued] 1,600,000 Premium on bonds payable 19,000 Prepaid expenses 27,400 Retained earnings, January 1, 2016 9,319,725 Store buildings and equipment 12,560,000 Treasury stock (5,400 shares of common stock at cost of 33 per share) 178,200 Unrealized gain (loss) on available for sale investments (6,500) Valuation allowance for available for sale investments (6,500)Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 20 par common stock at 30, receiving cash. b. Issued 4,000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 375. The bonds are classified as a heldtomaturity long-term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0.60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 45, including commission. p. Recorded the payment of semiannual interest on the bonds issued in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method. q. Accrued interest for three months on the Dream Inc. bonds purchased in (l). r. Pinkberry Co. recorded total earnings of 240,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39.02 per share on December 31, 2016. The investment is adjusted to fair value, using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments had a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transactions for the year ended December 31, 2016, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step income statement for the year ended December 31, 2016, concluding with earnings per share. In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. (Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 2016. c. Prepare a balance sheet in report form as of December 31, 2016.Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 20 par common stock at 30, receiving cash. b. Issued 4, 000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 37 5. The bonds are classified as a held-to-maturity long -term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0 .60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 45, including commission. p. Recorded the payment of semiannual interest on the bonds issue d in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method . q. Accrued interest for three months on the Dream Inc. bonds purchased in (I). r. Pinkberry Co. recorded total earnings of 240 ,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39. 02 per share on December 31, 2016. The investment is adjusted to fair value , using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments h ad a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transaction s for the year ended December 31, 201 6, had been poste d [including the transactions recorded in part (1) and all adjusting entries), the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step in come statement for the year ended December 31, 201 6, concluding with earnings per share . In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. ( Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 20 6. c. Prepare a balance sheet in report form as of December 31, 2016.
- Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the dividends paid to common stockholders for last year were 2,600,000 and that the market price per share of common stock is 51.50. Required: 1. Compute the dividends per share. 2. Compute the dividend yield. (Note: Round to two decimal places.) 3. Compute the dividend payout ratio. (Note: Round to two decimal places.)On April 2, West Company declared a cash dividend of $0.50 per share. There are 50,000 shares outstanding. What is the journal entry that should be recorded?DIVIDENDS Brooks sporting Inc. is prepared to report the following 2016 income statement (shown in thousands of dollars). Sales 15,300 Operating costs including depreciation 12,240 EBIT 3,060 Interest 330 EBT 2,730 Taxes (40%) 1,092 Net income 1,638 Prior to reporting this income statement, the company wants to determine its annual dividend. The company has 320,000 shares of common stock outstanding, and its stock trades at 37 per share. a. The company had a 25% dividend payout ratio in 2015. If Brooks wants to maintain this payout ratio in 2016, what will be its per-share dividend in 2016? b. If the company maintains this 25% payout ratio, what will be the current dividend yield on the companys stock? c. The company reported net income of 1.35 million in 2015. Assume that the number of shares outstanding has remained constant. What was the companys per-share dividend in 2015? d. As an alternative to maintaining the same dividend payout ratio. Brooks is considering maintaining the same per-share dividend in 2016 that it paid in 2015. If it chooses this policy, what will be the companys dividend payout ratio in 2016? e. Assume that the company is interested in dramatically expanding its operations and that this expansion will require significant amounts of capital. The company would like to avoid transactions costs involved in issuing new equity. Given this scenario, would it make more sense for the company to maintain a constant dividend payout ratio or to maintain the same per-share dividend? Explain.