E16-23

16-23 (similar to Question Help Ryle Exercise Equipment, Inc. reported the following financial statements for 2018 (Click the icon to view the income statement.) (Click the icon to view the comparative balance sheet.) Read the requirements Requirement 1. Compute the amount of Ryle Exercise's acquisition of plant assets. Ryle Exercise disposed of plant assets at book value. The cost and accumulated depreciation of the disposed asset was $43,400. No cash was received upon disposal. The acquisitions of plant assets amounts to $ - X Requirements 1 1. Compute the amount of Ryle Exercise's acquisition of plant assets. Assume the acquisition was for cash. Ryle Exercise disposed of plant assets at book value. The cost and accumulated depreciation of the disposed asset was $43,400. No cash was received upon disposal. 2. Compute new borrowing or payment of long-term notes payable, with Ryle Exercise having only one long-term notes payable transaction during the year. 3. Compute the issuance of common stock with Ryle Exeroise having only one common stock transaction during the year. 4. Compute the payment of cash dividends Print Done Enter any number in the edit fields and then click Check Answer Check Answer Clear All parts Data Table - X 1 Ryle Exercise Equipment, Inc Income Statement Year Ended December 31, 2018 Net Sales Revenue 717.000 348,000 Cost of Goods Sold Gross Profit 369,000 Operating Expenses: 50,000 Depreciation Expense 205,000 Other Operating Expenses 255,000 Total Operating Expenses 114,000 Net Income Print Done Ryle Exercise Equipment, Inc. Comparative Balance Sheet December 31, 2018 and 2017 2017 2018 Assets Current Assets: Cash 18,000 S 15.000 Accounts Receivable 54.000 47.000 Merchandise Inventory 89.000 88.000 Long-term Assets: Plant Assets 264.100 213.500 Accumulated Depreciation-Plant Assets (41,100) (34,500) O00 26 481,000 S 79.000 Investments 408,000 Total Assets Liabilities Current Liabilities: 74,000 70,000 $ Accounts Payable 6.500 Salaries Payable 4.500 Done Print Ryle Exercise Equipment, Inc. Income Statement Year Ended December 31, 2018 Net Sales Revenue 717.000 348,000 Cost of Goods Sold Gross Profit 369,000 Operating Expenses: Depreciation Expense $ 50,000 205,000 Other Operating Expenses 255,000 Total Operating Expenses 114,000 Net Income Print Done - X iRequirements 1. Compute the amount of Ryle Exercise's acquisition of plant assets. Assume the acquisition was for cash. Ryle Exercise disposed of plant assets at book value. The cost and accumulated depreciation of the disposed asset was $43,400. No cash was received upon disposal. 2. Compute new borrowing or payment of long-term notes payable, with Ryle Exercise having only one long-term notes payable transaction during the year. 3. Compute the issuance of common stock with Ryle Exercise having only one common stock transaction during the year. 4. Compute the payment of cash dividends. Done Print Ryle Exercise Equipment, Inc. Comparative Balance Sheet December 31, 2018 and 2017 2018 2017 Assets Current Assets: Cash 18,000 $ 15,000 Accounts Receivable 54,000 47.000 Merchandise Inventory 89,000 88,000 Long-term Assets: Plant Assets 284,100 213,500 Accumulated Depreciation-Plant Assets (41,100) (34,500) 97,000 79,000 Investments 481,000 $ 408,000 Total Assets Liabilities Current Liabilities: Accounts Payable S 76,000 S 74,000 Saleries Payable 6.500 4,500 Long-term Liabilities: Notes Payable 57,000 72.000 Total Liabilities 137.600 152 600 Stockholders' Equity Common Stock no par 38 000 217 500 40 000 Retained Eamings 297 600 Total Stockholders Equity 343 500 213,500 Accumulated Depreciation-Plant Assets (41.100) (34,500) Investments 97,000 79,000 481,000 $ Total Assets 408,000 Liabilities Current Liabilities: Accounts Payable 76,000 $ 74,000 Salaries Payable 4,500 8,500 Long-term Lisbilities: 57.000 72,000 Notes Payable 152,500 137.500 Total Lisbilities Stockholders' Equity 38,000 46,000 Common Stock, no par 217,500 297,500 Retained Earnings 255.500 343,500 Total Stockholders' Equity Done Print