Managerial Accounting: Tools for Business Decision Making
7th Edition
ISBN: 9781118334331
Author: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
Publisher: WILEY
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Question
Chapter 14, Problem 14.10E
(a)
To determine
To compute: The cost of goods sold of Company L.
(b)
To determine
To compute: Net sales (credit) of Company L.
(c)
To determine
To compute: net income of Company L.
(d)
To determine
To compute: total assets of Company L.
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Lingenfelter Corporation experienced a fi re on December 31, 2017, in
which its financial records were partially destroyed. It has been able
to salvage some of the records and has ascertained the following
balances.
Dec. 31, 2017 Dec. 31, 2016
Cash $ 30,000 $ 10,000
Accounts receivable (net) 72,500 126,000
Inventory 200,000 180,000
Accounts payable 50,000 90,000
Notes payable 30,000 60,000
Common stock, $100 par 400,000 400,000
Retained earnings 113,500 101,000
Additional information:
1. The inventory turnover is 4.5 times.
2. The return on common stockholders’ equity is 16%. The company had no
additional paid-in capital.
3. The accounts receivable turnover is 8.8 times.
4. The return on assets is 12.5%.
5. Total assets at December 31, 2016, were $655,000. Instructions
Compute the following for Lingenfelter Corporation.
a) Cost of goods sold for 2017.
b) Net sales (credit) for 2017.
c) Net income for 2017.
d) Total assets at December 31,…
Novak Corp. experienced a fire on December 31, 2020, in which its financial records were partially destroyed. It has been able to salvage some of the records and has ascertained the following balances.
December 31, 2020
December 31, 2019
Cash
$ 38,700
$ 20,200
Accounts receivable (net)
81,300
127,000
Inventory
208,000
190,200
Accounts payable
51,100
97,900
Notes payable
32,200
65,200
Common stock, $100 par
403,900
403,900
Retained earnings
120,000
101,600
Additional information:
1.
The inventory turnover is 4.8 times.
2.
The return on common stockholders’ equity is 20%. The company had no additional paid-in capital.
3.
The receivables turnover is 12.7 times.
4.
The return on assets is 16%.
5.
Total assets at December 31, 2019, were $607,900.
1. What is the Net income for 2020?
2. What is the total assets at December 31, 2020?
Martinez Corp. experienced a fire on December 31, 2020, in which its financial records were partially destroyed. It has been able to salvage some of the records and has ascertained the following balances.
December 31, 2020
December 31, 2019
Cash
$ 38,100
$ 11,100
Accounts receivable (net)
74,000
128,400
Inventory
204,600
183,400
Accounts payable
50,200
90,600
Notes payable
36,500
64,900
Common stock, $100 par
406,600
406,600
Retained earnings
120,000
106,300
Additional information:
1.
The inventory turnover is 3.7 times.
2.
The return on common stockholders’ equity is 19%. The company had no additional paid-in capital.
3.
The receivables turnover is 11.8 times.
4.
The return on assets is 19%.
5.
Total assets at December 31, 2019, were $607,100.
Compute the following for Martinez Corp.. (Round all answers to 0 decimal places, e.g. 2,150.)
(a)
Cost of goods sold for 2020.
$
(b)
Net credit…
Chapter 14 Solutions
Managerial Accounting: Tools for Business Decision Making
Ch. 14 - (a) Jose Ramirez believes that the analysis of...Ch. 14 - (a) Distinguish among the following bases of...Ch. 14 - Prob. 3QCh. 14 - Prob. 4QCh. 14 - Prob. 5QCh. 14 - Prob. 6QCh. 14 - Prob. 7QCh. 14 - What do the following classes of ratios measure?...Ch. 14 - What is the difference between the current ratio...Ch. 14 - Hizar Company, a retail store, has an accounts...
Ch. 14 - Which ratios should be used to help answer the...Ch. 14 - The price-earnings ratio of General Motors...Ch. 14 - What is the formula for computing the payout...Ch. 14 - Holding all other factors constant, indicate...Ch. 14 - Prob. 15QCh. 14 - Prob. 16QCh. 14 - Prob. 17QCh. 14 - Prob. 18QCh. 14 - Prob. 19QCh. 14 - Why is it important to report discontinued...Ch. 14 - You are considering investing in Wingert...Ch. 14 - Prob. 22QCh. 14 - Prob. 23QCh. 14 - You recently received a letter from your Uncle...Ch. 14 - Prob. 14.2BECh. 14 - Using the following data from the comparative...Ch. 14 - Using the same data presented above in BE14-3 for...Ch. 14 - Net income was 500,000 in 2016, 450,000 in 2017,...Ch. 14 - Prob. 14.6BECh. 14 - Prob. 14.7BECh. 14 - Prob. 14.8BECh. 14 - Prob. 14.9BECh. 14 - Prob. 14.10BECh. 14 - The following data are taken from the financial...Ch. 14 - Prob. 14.12BECh. 14 - Prob. 14.13BECh. 14 - Prob. 14.14BECh. 14 - On June 30. Holloway Corporation discontinued its...Ch. 14 - Prob. 14.1DICh. 14 - Prob. 14.2DICh. 14 - In its proposed 2017 income statement. Hrabik...Ch. 14 - Financial information for Kurzen Inc. is presented...Ch. 14 - Operating data for Navarro Corporation are...Ch. 14 - The comparative condensed balance sheets of Gurley...Ch. 14 - The comparative condensed income statements of...Ch. 14 - Suppose Nordstrom, Inc., which operates department...Ch. 14 - Keener Incorporated had the following transactions...Ch. 14 - Frizell Company has the following comparative...Ch. 14 - Prob. 14.8ECh. 14 - Prob. 14.9ECh. 14 - Prob. 14.10ECh. 14 - Wiemers Corporations comparative balance sheets...Ch. 14 - Prob. 14.12ECh. 14 - Prob. 14.13ECh. 14 - Comparative statement data for Farris Company and...Ch. 14 - The comparative statements of Painter Tool Company...Ch. 14 - Prob. 14.3APCh. 14 - Financial information for Messersmith Company is...Ch. 14 - Prob. 14.5APCh. 14 - Prob. 14.6APCh. 14 - Prob. 14.7APCh. 14 - Prob. 14.8APCh. 14 - Prob. 14.9APCh. 14 - Financial Reporting Problem: Apple Inc. Your...Ch. 14 - PepsiCos financial statements are presented at...Ch. 14 - Prob. 14.3BYPCh. 14 - As the CPA for Gandara Manufacturing Inc., you...Ch. 14 - The Management Discussion and Analysis section of...Ch. 14 - Prob. 14.6BYPCh. 14 - Dave Schonhardt, president of Schonhardt...
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