Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Ayayai Corp. experienced a fire on December 31, 2020, in which its financial records were partially destroyed. It has been able to salvage some of

Ayayai Corp. experienced a fire on December 31, 2020, in which its financial records were partially destroyed. It has been able to salvage some of the records and has ascertained the following balances. December 31, 2020 December 31, 2019 Cash $ 31,000 $ 11,000 Accounts receivable (net) 72,600 126,100 Inventory 201,000 181,000 Accounts payable 50,100 89,100 Notes payable 30,100 60,100 Common stock, $100 par 401,000 401,000 Retained earnings 113,600 101,100 Additional information: 1. The inventory turnover is 3.4 times. 2. The return on common stockholders equity is 18%. The company had no additional paid-in capital. 3. The receivables turnover is 11.3 times. 4. The return on assets is 16%. 5. Total assets at December 31, 2019, were $605,100. Compute the following for Ayayai Corp.. (Round all answers to 0 decimal places, e.g. 2,150.) (a) Cost of goods sold for 2020. $ (b) Net credit sales for 2020. $ (c) Net income for 2020. $ (d) Total assets at December 31, 2020.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

13th edition

978-1-119-4110, 1119411483, 9781119411017, 978-1119411482

Students also viewed these Accounting questions