Question
1. The following items are taken from the financial statements of Cullumber Company at December 31, 2022. Land $196,500 Accounts receivable 21,300 Supplies 10,100 Cash
1. The following items are taken from the financial statements of Cullumber Company at December 31, 2022.
Land | $196,500 | ||
Accounts receivable | 21,300 | ||
Supplies | 10,100 | ||
Cash | 12,000 | ||
Equipment | 83,100 | ||
Buildings | 261,400 | ||
Land improvements | 46,250 | ||
Notes receivable (due in 2023) | 5,100 | ||
Accumulated depreciationland improvements | 13,100 | ||
Common stock | 73,500 | ||
Retained earnings (December 31, 2022) | 502,000 | ||
Accumulated depreciationbuildings | 34,200 | ||
Accounts payable | 9,300 | ||
Mortgage payable | 90,150 | ||
Accumulated depreciationequipment | 18,700 | ||
Interest payable | 3,800 | ||
Income taxes payable | 15,200 | ||
Patents | 47,100 | ||
Investments in stock (long-term) | 72,200 | ||
Debt investments (short-term) | 4,900 |
A) Prepare a classified balance sheet. Assume that $10,200 of the mortgage payable will be paid in 2023. (List Current Assets in order of liquidity. List Property, Plant and Equipment in order of Land, Buildings, Equipment and Land Improvements.)
2. These items are taken from the financial statements of Pharoah Company at December 31, 2022.
Buildings | $95,220 | |
Accounts receivable | 11,340 | |
Prepaid insurance | 2,880 | |
Cash | 10,656 | |
Equipment | 74,160 | |
Land | 55,080 | |
Insurance expense | 702 | |
Depreciation expense | 4,770 | |
Interest expense | 2,340 | |
Common stock | 54,000 | |
Retained earnings (January 1, 2022) | 36,000 | |
Accumulated depreciationbuildings | 41,040 | |
Accounts payable | 8,550 | |
Notes payable | 84,240 | |
Accumulated depreciationequipment | 16,848 | |
Interest payable | 3,240 | |
Service revenue | 13,230 |
A) Prepare a classified balance sheet. Assume that $12,240 of the note payable will be paid in 2023.
3. You are provided with the following information for Carla Vista Co., effective as of its April 30, 2022, year-end.
Accounts payable | $ 880 | |
Accounts receivable | 880 | |
Accumulated depreciationequipment | 660 | |
Cash | 1,220 | |
Common stock | 17,400 | |
Cost of goods sold | 1,070 | |
Depreciation expense | 375 | |
Dividends | 340 | |
Equipment | 2,570 | |
Goodwill | 1,600 | |
Income tax expense | 155 | |
Income taxes payable | 130 | |
Insurance expense | 340 | |
Interest expense | 580 | |
Inventory | 950 | |
Investment in land | 14,240 | |
Land | 3,000 | |
Mortgage payable (long-term) | 3,300 | |
Notes payable (short-term) | 60 | |
Prepaid insurance | 50 | |
Retained earnings (beginning) | 2,000 | |
Salaries and wages expense | 700 | |
Salaries and wages payable | 240 | |
Sales revenue | 4,600 | |
Stock investments (short-term) | 1,200 |
a) Prepare an income statement for Carla Vista Co. for the year ended April 30, 2022. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
b) Prepare a retained earnings statement for Carla Vista Co. for the year ended April 30, 2022. (List items that increase retained earnings first.
c) Prepare a classified balance sheet for Carla Vista Co. as of April 30, 2022. (List Current Assets in order of liquidity.)
4. Suppose the following information is available for Callaway Golf Company for the years 2022 and 2021. (Dollars are in thousands, except share information.)
2022 | 2021 | |||
---|---|---|---|---|
Net sales | $ 1,129,000 | $ 1,136,000 | ||
Net income (loss) | 84,462 | 70,965 | ||
Total assets | 855,338 | 838,078 | ||
Share information | ||||
Shares outstanding at year-end | 69,500,000 | 71,270,000 | ||
Preferred dividends | 0 | 0 |
There were 78,130,000 shares outstanding at the end of 2020. (a) What was the companys earnings per share for each year? (Round answers to 2 decimal places, e.g. 15.25.)
5. A list of financial statement items for Sunland Company includes the following: accounts receivable $19,600; prepaid insurance $3,640; cash $14,560; supplies $5,320; and debt investments (short-term) $11,480. a) Prepare the current assets section of the balance sheet listing the items in the proper sequence. (List current assets in order of liquidity.)
6. Suppose the following items were taken from the 2022 financial statements of Texas Instruments, Inc. (All dollars are in millions.)
Common stock | $2,250 | Accumulated depreciationequipment | $2,150 | |||
---|---|---|---|---|---|---|
Prepaid rent | 150 | Accounts payable | 1,230 | |||
Equipment | 7,100 | Patents | 2,270 | |||
Stock investments (long-term) | 710 | Notes payable (long-term) | 770 | |||
Debt investments (short-term) | 1,980 | Retained earnings | 10,050 | |||
Income taxes payable | 110 | Accounts receivable | 1,770 | |||
Cash | 1,490 | Inventory | 1,090 |
a) Prepare a classified balance sheet in good form as of December 31, 2022. (List Current Assets in order of liquidity.)
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