Additional data Other information for the year ended December 31, 2020, which may be useful includes: a. Acquired equipment by issuing a long-term note payable, $94,000, and paying $5,000 cash b. Purchased a long-term investment for cash. c. Received cash for issuance of common shares, $36,000. d. Only cash dividends were issued during the year. e. Paid short-term note payable by issuing common shares. Vercado Wholesale Ltd. Income Statement For the Year Ended December 31, 2020 Net sales $ 1,331,000 412,000 919,000 Cost of goods sold Gross margin Operating expenses Salaries expense Amortization expense $ 212,000 33.000 210,000 455,000 464,000 Other expenses Operating income Other revenues and expenses Revenues and gains $ 212,000 Salaries expense Amortization expense 33,000 Other expenses 210,000 455,000 Operating income 464,000 Other revenues and expenses Revenues and gains Interest revenue 69,000 Expenses and losses Interest expense (42,000) (38,000) Loss on sale of land (80,000) Income before income taxes 453,000 Income tax expense 67 000 $ 386,000 Net income Vercado Wholesale Ltd. Balance Sheet December 31, 2020 and 2019 Assets 2020 2019 Current assets Cash $ 202,000||$ 59.000 Accounts receivable 376,000 259.000 Interest receivable 18.000 22.500 349.000 319,000 23.000 15,000 Inventory Prepaid expenses Long-term investment Plant and equipment, net 56.000 40.000 436,000 370.000 488 000 Land 228.000 11 ARRI LOGO Liabilities Current liabilities 108,000 85,000 $ 248,000 219,000 90,000 Note payable, short-term Accounts payable Income tax payable Accrued liabilities Interest payable Salaries payable Long-term note payable Shareholders' Equity 87,000 43,000 21,500 50,000 15,000 6,000 17,500 253,000 484.000 Common shares 331,000 613,500 w 272,000 317.000 Retained earnings S 1.688 000 $ 1572.500 Total liabilities and shareholders' equity Additional data Other information for the year ended December 31, 2020, which may be useful includes: a. Acquired equipment by issuing a long-term note payable, $94,000, and paying $5,000 cash b. Purchased a long-term investment for cash. c. Received cash for issuance of common shares, $36,000. d. Only cash dividends were issued during the year. e. Paid short-term note payable by issuing common shares. Vercado Wholesale Ltd. Income Statement For the Year Ended December 31, 2020 Net sales $ 1,331,000 412,000 919,000 Cost of goods sold Gross margin Operating expenses Salaries expense Amortization expense $ 212,000 33.000 210,000 455,000 464,000 Other expenses Operating income Other revenues and expenses Revenues and gains $ 212,000 Salaries expense Amortization expense 33,000 Other expenses 210,000 455,000 Operating income 464,000 Other revenues and expenses Revenues and gains Interest revenue 69,000 Expenses and losses Interest expense (42,000) (38,000) Loss on sale of land (80,000) Income before income taxes 453,000 Income tax expense 67 000 $ 386,000 Net income Vercado Wholesale Ltd. Balance Sheet December 31, 2020 and 2019 Assets 2020 2019 Current assets Cash $ 202,000||$ 59.000 Accounts receivable 376,000 259.000 Interest receivable 18.000 22.500 349.000 319,000 23.000 15,000 Inventory Prepaid expenses Long-term investment Plant and equipment, net 56.000 40.000 436,000 370.000 488 000 Land 228.000 11 ARRI LOGO Liabilities Current liabilities 108,000 85,000 $ 248,000 219,000 90,000 Note payable, short-term Accounts payable Income tax payable Accrued liabilities Interest payable Salaries payable Long-term note payable Shareholders' Equity 87,000 43,000 21,500 50,000 15,000 6,000 17,500 253,000 484.000 Common shares 331,000 613,500 w 272,000 317.000 Retained earnings S 1.688 000 $ 1572.500 Total liabilities and shareholders' equity
