ABC Corporation had the following balance sheet on December 31,20XX : Sales for 20XY were $314,000, with cost of goods sold being 70 percent of sales. Amortization expense was 10 percent of plant and equipment (net) at the beginning of the year. Interest expense for the bonds payable was 19 percent, while interest on the notes payable was 17 percent. These are based on December 31,20XX, balances. Selling and administrative expenses were $31,100, and the tax rate averaged 18 percent. During 20XY, the cash balance and prepaid expense balance were unchanged. Accounts receivable and inventory each increased by 12 percent, and accounts payable increased by 27 percent. A new machine was purchased on December 31,20XY, at a cost of $28,000. A cash dividend of $11,500 was paid to common shareholders at the end of 20XY. Also, notes payable increased by $6,904 and bonds payable decreased by 10,520 . The common stock account did not change. b. Prepare a balance sheet as of December 31,20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) Prepare an income statement for 20XY. (Input all answers as positive values.) b. Prepare a balance sheet as of December 31,20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) b. Prepare a balance sheet as of December 31,20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) ABC Corporation had the following balance sheet on December 31,20XX : Sales for 20XY were $314,000, with cost of goods sold being 70 percent of sales. Amortization expense was 10 percent of plant and equipment (net) at the beginning of the year. Interest expense for the bonds payable was 19 percent, while interest on the notes payable was 17 percent. These are based on December 31,20XX, balances. Selling and administrative expenses were $31,100, and the tax rate averaged 18 percent. During 20XY, the cash balance and prepaid expense balance were unchanged. Accounts receivable and inventory each increased by 12 percent, and accounts payable increased by 27 percent. A new machine was purchased on December 31,20XY, at a cost of $28,000. A cash dividend of $11,500 was paid to common shareholders at the end of 20XY. Also, notes payable increased by $6,904 and bonds payable decreased by 10,520 . The common stock account did not change. b. Prepare a balance sheet as of December 31,20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) Prepare an income statement for 20XY. (Input all answers as positive values.) b. Prepare a balance sheet as of December 31,20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) b. Prepare a balance sheet as of December 31,20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.)
