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1. Provided below are comparative BSs for Schmit Co. a.) Prepare a CFS for 2014. b) Compute 1)current cash debt coverage and 2) cash debt

1. Provided below are comparative BSs for Schmit Co.

a.) Prepare a CFS for 2014.

b) Compute

1)current cash debt coverage and

2) cash debt coverage Assets 2014

2013 Cash $68,000.00 $22,000.00

AR $88,000.00 $76,000.00

Inventory $167,000.00 $189,000.0

Land $80,000.00 $100,000.00

Equip $260,000.00 $200,000.00

Accum Depreciation-Equip $(66,000.00) $(32,000.00) T

otal $597,000.00 $555,000.00

Liabs and SHE AP $39,000.00 $43,000.00

Bonds Payable $150,000.00 $200,000.00

Common Stock ($1 par) $216,000.00 $174,000.00

Retained earnings $192,000.00 $138,000.00

Total $597,000.00 $555,000.00 Additional information:

Net Income for 2014 was $93,000 Depreciation exp was

$34,000 Cash dividends of $39,000 were declared and paid

Bonds payable of $50,00 were redeemed for cash

Common stock was issued for $42,000

No equipment was sold during 2014 Land was sold for its book value

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