Accounting 221. 4 question. This is an excel file. 1 question per sheet.

Quiz Page 1 of 4 Note: It is recommended that you save your response as you complete each question. Question 1 (40 points) Philadelphia Widget Corporation is in the process of preparing financial statements for the year ended December 31, 2015 Philadelphia Widget Corporation Income Statement For the year ended December 31, 2015 Revenue $1,235,000 Cost of Goods Sold 806,356 Gross Profit $428,644 Administrative Expenses: Salaries Rent Depreciation Total Administrative Expense $212,450 82,500 24,800 319,750 Operating Profit $108,894 Gain on Sale of Equipment 4,500 Interest Expense -42,115 Net Income $71,279 Philadelphia Widget Corporation Comparative Balance Sheets December 31, 2015; 2014; and 2013 2015 Cash $119,411 Accounts Receivable 85,455 Inventory 41,600 Prepaid Expenses 14,500 Total Current Assets 260,966 Land Buildings & Equipment Accumulated Depreciation Total Assets Accounts Payable 50,000 $182,450 78,900 103,550 $414,516 $62,525 Wages Payable 4,500 Unearned Revenue 3,000 Current Portion of Long-Term Debt 50,000 Total Current Liabilities 120,025 Long-Term Debt 175,000 Common Stock, 3,500 shares outstanding Retained Earnings $35,000 84,491 Total Stockholders' Equity 119,491 Total Liabilities & Equity $414,516 Instructions Prepare a Statement of Cash Flow using the indirect method for the 2015, using the above statements and the following ad 1. Equipment costing $30,000 was purchased in 2015. 2. Equipment having an original cost of $20,000 and accumulated depreciation of $8,500 was sold for $16,000 during 20 3. A dividend of $20,000 was declared and paid in 2015. Philadelphia Widget Corporation Statement of Cash Flows For the year ended December 31, 2015 Cash provided (used) by operating activities: Net income Adjustments to reconcile net income to net cash: Item Item $71,279 $11,247 Amount Item Item Item Item Item Amount Amount Amount Amount Amount Net cash provided by operating activities Cash provided (used) by investing activities: Item Item Net cash (used) by investing activities Cash provided (used) by financing activities: Item Item Net cash (used) by financing activities Total cash provided (used) Cash at the beginning of the year Cash at the end of the year Amount Amount Amount Amount Amount Amount Amount Amount Amount Amount ar ended December 31, 2015. They have completed the balance sheet and income statement as shown. 2014 $89,564 2013 $105,644 83,118 78,400 48,560 62,600 18,100 24,000 239,342 270,644 50,000 50,000 $172,450 62,600 $166,800 109,850 54,580 112,220 $399,192 $432,864 $51,480 $45,200 4,500 1,500 - - 50,000 50,000 105,980 96,700 225,000 275,000 $35,000 $35,000 33,212 26,164 68,212 61,164 $399,192 $432,864 atements and the following additional information: was sold for $16,000 during 2015. Prepare a vertical analysis for the most recent year for Philadelphia Widget Corporation' income statement. Philadelphia Widget Corporation Vertical Analysis of Income Statement Revenue $1,235,000 Cost of Goods Sold 806,356 Gross Profit $428,644 Administrative Expenses: Salaries 212,450 Rent 82,500 Depreciation 24,800 Total Administrative Expense 319,750 Operating Profit $108,894 Gain on Sale of Equipment 4,500 Interest Expense -42,115 Net Income $71,279 ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% Question 3 (20 points) Philadelphia Widget Corporation is in the process of preparing financial statements for the year ended December 31, 2015 Philadelphia Widget Corporation Income Statement For the year ended December 31, 2015 Revenue $1,235,000 Cost of Goods Sold 806,356 Gross Profit $428,644 Administrative Expenses: Salaries Rent Depreciation Total Administrative Expense Operating Profit Gain on Sale of Equipment Interest Expense Net Income Cash $212,450 82,500 24,800 319,750 $108,894 4,500 -42,115 $71,279 Philadelphia Widget Corporation Comparative Balance Sheets December 31, 2015; 2014; and 2013 2015 $119,411 2014 $89,564 Accounts Receivable 85,455 83,118 Inventory 41,600 48,560 Prepaid Expenses 14,500 18,100 260,966 239,342 50,000 50,000 Total Current Assets Land Buildings & Equipment Accumulated Depreciation $182,450 78,900 Total Assets $172,450 103,550 62,600 109,850 $414,516 $399,192 $62,525 $51,480 Wages Payable 4,500 4,500 Unearned Revenue 3,000 - Current Portion of Long-Term Debt 50,000 50,000 Total Current Liabilities 120,025 105,980 175,000 225,000 Accounts Payable Long-Term Debt Common Stock, 3,500 shares outstanding Retained Earnings $35,000 $35,000 84,491 33,212 Total Stockholders' Equity Total Liabilities & Equity Instructions Calculate the following ratios based on 12/31/2015 numbers: 1. Earnings per share 2. Return on common stockholders' equity 3. Return on assets 4. Current ratio 5. Acid-test ratio 6. Accounts receivable turnover Philadelphia Widget Corporation 2015 Ratios Earnings per share $##.## Return on common stockholders' equity Return on assets Current ratio Acid-test ratio Accounts receivable turnover ##.#% ##.#% #.## #.## #.## 119,491 68,212 $414,516 $399,192 ended December 31, 2015. They have completed the balance sheet and income statement as shown. 2013 $105,644 78,400 62,600 24,000 270,644 50,000 $166,800 54,580 112,220 $432,864 $45,200 1,500 - 50,000 96,700 275,000 $35,000 26,164 61,164 $432,864 Prepare a horizontal analysis the two most recent years of Philadelphia Widget Corporation's balance sheets. There are 4 questions. 1 per sheet. Please upload answer as Philadelphia Widget Corporation Horizontal Analysis of Balance Sheet 2015 Cash Accounts Receivable Inventory Prepaid Expenses Total Current Assets Land Buildings & Equipment, net Total Assets Accounts Payable Wages Payable Unearned Revenue Current Portion of Long-Term Debt Total Current Liabilities Long-Term Debt Common Stock Retained Earnings Total Liabilities & Equity $119,411 85,455 41,600 14,500 $260,966 50,000 103,550 $414,516 $62,525 4,500 3,000 50,000 $120,025 175,000 35,000 84,491 $414,516 ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% - ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% $89,564 83,118 48,560 18,100 $239,342 50,000 109,850 $399,192 $51,480 4,500 - 50,000 $105,980 225,000 35,000 33,212 $399,192 2014 ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% - ##.#% ##.#% ##.#% ##.#% ##.#% ##.#% Please upload answer as an excel file. Thank you 2013 $105,644 78,400 62,600 24,000 $270,644 50,000 112,220 $432,864 $45,200 1,500 - 50,000 $96,700 275,000 35,000 26,164 $432,864