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- 5. An entity provided the following data for the year ended December 1, 2019: Retained earnings unappreciated, January 1 P2 000 000 Overdepreciation of 2018 due to prior period, net of tax 400 000 Net Income 3 000 000 Retained earnings appreciated for treasury shares (original balance is P500 000 but reduced by P200 000 by reason of reissuance of the treasury shares) Retained earnings appropriated for contingencies (beginning balance P700 000 but increased by current appreciation of P100 000) Cash dividends paid to shareholders Change in accounting policy from FIFO to a average-credit, net of tax • What is the balance of unappreciated retained earnings on December 31, 2019?6. An entity provided the fo:louingdata for the year ended December 31. 2019:Retained earnings unappropriated. Januar> Overdepreciation of20i 8 due to prior period error. net oftax 400.000Net incomeRetained earning; appropriated for treasury (original balance is 3,000,000but reduced S) P200,000 by reason of reissuance of the treasury Shares)Retained earnings eppropria:ed for contingencies (begirråpg balance P70C,OOO. 300,000but increased by current appropriation ofP 100,000) 800,000Cash dividends paid to shareholders 1000.000Change in accounting policy from FIFO to a average — credit, net OftaxWhat is the balance of unappropriated retained earnings on December 31, 2019? 4,500.000 300.000b. 4,800,000D. An entity reported the following information during the first year of operations:Pretax financial income 9,000,000Nontaxable interest received 1,000,000Nondeductible life insurance premiums paid 500,000Long-term loss accrual in excess of deductible amount 1,500,000Tax depreciation in excess of financial depreciation 2,000,000Income tax rate 25%1. What is the current tax expense?2. What is the total tax expense?3. What is the deferred tax liability at year-end?4. What is the deferred tax asset at year-end?
- Global Inc. provided the following changes on December 31, 2020. Current assets P 3,000,000 IncreaseNoncurrent assets 2,500,000 DecreaseCurrent liabilities 1,600,000 DecreaseNoncurrent liabilities 1,000,000 IncreaseShare Capital 1,000,000 IncreaseShare premium capital 800,000 Increase There were no changes in retained earnings for 2020 other than P2,000,000 dividend payment and year-end results ofoperations.1. How much is the net income for 2020?Moorman Corporation reports the following information: Correction of overstatement of depreciation expense in prior years, net of tax $ 430,000 Dividends declared 320,000 Net income 1,000,000 Retained earnings, 1/1/10, as reported 2,000,000 Moorman should report retained earnings, 31/12/10, as adjusted at Select one :- a. $3,110,000 b. $2,250,000 c. $3,430,000 d. $1,820,000Bonita Industries reported net income of $537000 for the year ended 12/31/21. Included in the computation of net income were: depreciation expense, $90100; amortization of a patent, $48500; income from an investment in common stock of Sandhill Co., accounted for under the equity method, $71400; and amortization of a bond premium, $18400. Bonita also paid a $123000 dividend during the year. The net cash provided by operating activities would be reported at $365500. $488500. $585800. $462800.
- The ending balance of ABC’s equity shows P 1,260,000. Tihs is affected by the following transactions: Net income during the year P65,000 Adjustment to retained earnings for the overstatement of prior year net income- P17,500 Cash dividend declared and paid during the year - 10% The share capital of P1,000,000 remained unchanged during the year. What is the beginning balance of retained earnings?The following information pertains to BT21 Co. for the year.· Net assets, Jan.1, 2021- P1,008,480· Net assets, Dec. 31. 2021- P2,112,960· Share capital issued in 2021- P335,520· Dividends declared in 2021- P195,120How much is the profit (loss)?An entity provided the following adjusted balances at year-end: Cash 550,000 Share premium 600,000 Accounts receivable 1,650,000 Retained earnings 700,000 Prepaid taxes 300,000 Translation adjustment-debit 500,000 Accounts payable 200,000 Revenue 3,600,000 Share capital 500,000 Expenses 2,600,000 During the current year, estimated tax payments of P300,000 were charged to prepaid taxes. The entity has not yet recorded income tax expense. There were no differences between financial income and taxable tax income and tax rate is 30%. Included in accounts receivable is P500,000 due from a customer. Special terms granted to this customer require payment in equal semi-annual installments of P125,000 every April 1 and October 1. What amount should be reported as total current assets? 1,950,000 2,200,000 2,500,000 2,250,000 What amount should be reported as total retained earnings? 1,700,000 700,000 1,400,000 900,000 What is the total…
- on january 1 2020 carla vista corporation had retained earnings of 549000 during the year carla vista had the following selected transactions 1. declared cash dividends 129,000 2, coreected overstatement of 2019 net income because of inventory error 44,500 3. earned net income 349,500 4. declared stock dividends 64,500 determine the retained earning balance at the end of the year! retained earning balance?Crane Company reported net income of $487000 for the year ended 12/31/21. Included in the computation of net income were: depreciation expense, $59400; amortization of a patent, $31100; income from an investment in common stock of Wildhorse Co., accounted for under the equity method, $48000; and amortization of a bond discount, $11500. Crane also paid an $79900 dividend during the year. The net cash provided by operating activities would be reported at $461100. $430000. $541000. $350100.An entity provided the following adjusted balances at year-end: Cash 550,000 Accounts receivable 1,650,000 Prepaid taxes 300,000 Accounts payable 200,000 Share capital 500,000 Share premium 600,000 Retained earnings 700,000 Translation adjustment – debit 500,000 Revenue 3,600,000 Expenses 2,600,000 During the current year, estimated tax payments of P300,000 were charged to prepaid taxes. The entity has not yet recorded income tax expense. There were no differences between financial income and taxable tax income and the tax rate is 30%. Included in accounts receivable is P500,000 due from a customer. Special terms granted to this customer require payment in equal semi-annual installments of P125,000 every April 1 and October 1. What is the total shareholders’ equity?
