Question
Can you help me with answering these to better understand how these are done?? Balance Sheet, Income Statement and Cash Flows Assume the following occur
Can you help me with answering these to better understand how these are done??
Balance Sheet, Income Statement and Cash Flows
Assume the following occur during 2023. What would be the effect on total assets, pretax income, and cash from operations
during 2023. Each part is independent of the others. If an event occurs in another year that has implications for 2023, your answer should reflect the effect during 2023. For example, buying equipment in 2022 would affect depreciation in 2023?your answer would reflect the depreciation during 2023, not the original purchase in 2022. Your answers should be in the form of a + or - followed by a number with no spaces or dollar signs (e.g., "-10"). If there is no change, the answer would be "0" with no sign.
1. During November 2023, Match purchases inventory for $40 on credit, to be paid in 2024. Match sells the inventory for $100 in December 2023 on credit, to be collected in 2024.
Total assets:
Pretax income:
Cash from operations:
2. During November 2022, Match purchased inventory for $40 on credit, paid for in January 2023. Match sells the inventory for $100 in December 2023 on credit, to be
collected in 2024.
Total assets:
Pretax income:
Cash from operations:
3. On January 1, 2023, Match purchases a piece of equipment for cash of $200 with a four-year life and no salvage. Depreciation starts immediately.
Total assets:
Pretax income:
Cash from operations:
4. On January 1, 2022, Match purchased a piece of equipment for cash of $200 with a four-year life and no salvage. Depreciation started immediately.
Total assets:
Pretax income:
Cash from operations:
5. On December 31, 2023, Match sells a piece of equipment for $100 in cash. The equipment was purchased on January 1, 2022, and had a purchase price of $200, four-
year life and no expected salvage.
Total assets:
Pretax Income:
Cash from operations:
6. On January 1, 2023, Match borrows $100 from a bank on a two-year loan at 5% simple
interest. $110 will be repaid on January 1, 2025.
Total assets:
Pretax Income:
Cash from operations:
7. On January 1, 2022, Match borrowed $100 from a bank on a two-year loan at 5%
simple interest. $110 will be repaid on January 1, 2024.
Total assets:
Pretax Income:
Cash from operations:
8. On January 1, 2021, Match borrowed $100 from a bank on a two-year loan at 5%
simple interest. $110 is repaid on January 1, 2023.
Total assets:
Pretax Income:
Cash from operations:
9. On January 1, 2023, Match receives $100 cash from a customer for a two-year subscription to run until December 31, 2024.
Total assets:
Pretax Income:
Cash from operations:
10. On January 1, 2022, Match received $100 cash from a customer for a two-year subscription to run until December 31, 2023.
Total assets:
Pretax Income:
Cash from operations:
Here is the income statement and balance sheet:
MATCH GROUP Balance Sheet Cash Inventory Total Current Assets Property and equipment, cost Accumulate Property and equipment, net Other assets Total assets Current portion of long term debt Compensation payable Accounts payable |& accrued liab. Deferred revenue Long term debt Total liabilities Contributed capital Retained earnings Treasury stock Total equity and liabilities 2023 2022 $ 900 $ 500 $ 400 200 $ 100 200 $ 1,400 900 5000 4200 $ (2.000) (1,400) $ 3000 2,800 $ 700 700 $ 5,100 $ 4,400 - 400 $ 200 300 $ 200 100 $ 1,600 1000 $ 2,100 1,900 $ 4,100 3,700 9,200 $ 9,200 (7,600) (8,000) $ (600) (500) $ 1,000 700 $ 5,100 S 4,400 400 200 (100) 800 (600) 200 (400) (100) 100 600 200 400 (100) Income Statement Customer revenue Advertising revenue Total revenue Marketing expense Compensation expense Depreciation expense Gain on Sale of PP&E Interest expense Pretax Income Income tax jexpense 2023 $ 3,400 900 4,300 (1,200) (1,500) (800) 800 100 (100) 800 (200) 600Step by Step Solution
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