FOCUS ON PERSONAL FINANCE LL/ACCESS >BI
6th Edition
ISBN: 9781260529326
Author: Kapoor
Publisher: McGraw-Hill Publishing Co.
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Chapter 2, Problem 1P
a)
Summary Introduction
To determine: The amount of total assets.
a)
Expert Solution
Explanation of Solution
The computation of total assets:
Hence, the total asset is $100100.
b)
Summary Introduction
To determine: The amount of total liabilities.
b)
Expert Solution
Explanation of Solution
The computation of total liabilities:
Hence, the total liability is $78900.
c)
Summary Introduction
To determine: The amount of net worth.
c)
Expert Solution
Explanation of Solution
The computation of net worth:
Hence, the net worth is $21200.
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Students have asked these similar questions
Calculate the missing value (in $) according to the accounting equation.
Assets
Liabilities
Owner's Equity
$15,808,000
$8,338,500
$
-
Use the following facts to calculate Return on Assets: Ending Total Assets =
$825,000; Beginning Total Assets = $425,000; Earnings before interest and taxes (EBIT)
- $200,000; Tax Expense = $31,000; and Interest Expense = $26,000.
The comparative balance sheet of Iglesias Inc. for December 31, 20Y3 and 20Y2, is shown as follows:
1
Dec. 31, 20Y3
Dec. 31, 20Y2
2
Assets
3
Cash
$625,080.00
$586,430.00
4
Accounts receivable (net)
228,260.00
209,470.00
5
Inventories
641,070.00
616,400.00
6
Investments
0.00
240,170.00
7
Land
327,640.00
0.00
8
Equipment
705,000.00
552,830.00
9
Accumulated depreciation-equipment
(165,670.00)
(148,610.00)
10
Total assets
$2,361,380.00
$2,056,690.00
11
Liabilities and Stockholders’ Equity
12
Accounts payable
$425,090.00
$405,900.00
13
Accrued expenses payable
43,140.00
52,460.00
14
Dividends payable
23,780.00
19,970.00
15
Common stock, $4 par
147,000.00
96,000.00
16
Excess of paid-in capital over par
417,200.00
279,600.00
17
Retained earnings
1,305,170.00
1,202,760.00
18
Total liabilities and…
Chapter 2 Solutions
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