Fashion World Inc. reported the following accounts and balances in its unadjusted trial balance as at December 31, 2020 (in thousands of Canadian dollars). Note that the accounts are listed in alphabetical order
This is what I have so far. I try to submit it and it says it is incomplete. Any feedback would be great! (When I enter the decimals they just round to the nearest whole number).
Accumulated depreciation Cash Contributed capital (1,000 shares) Cost of sales Depreciation expense Furniture and equipment, at cost Insurance expense Interest expense Investments (long term) Merchandise inventory Other operating expenses $ 28,600 14,000 50,000 158,500 9,600 68,800 750 1,750 37,000 26,000 7,700 Note payable, 5%, due March 1, 2022 Prepaid expenses Rent expense Retained earnings, January 1, 2020 Salaries expense Sales revenue Supplies expense Supplies inventory Trade accounts payables Trade accounts receivables $ 35,000 1,050 12,100 19,550 30,500 232,250 1,100 950 34,400 30,000 Additional information is as follows: a. All of these accounts have normal debit and credit balances. b. The note payable was signed on March 1, 2019. C. The company is subject to an income tax rate of 30 percent. 2. Prepare the statement of earnings for Fashion World Inc. for the year ended December 31, 2020. (Round "Earnings per share" to 2 decimal places. Enter the final answers in thousands of Canadian dollars.) FASHION WORLD INC. Statement of Earnings For the Year Ended December 31, 2020 (in thousands of Canadian dollars) Sales revenue Cost of sales $ 232 159 73 $ 31 Gross profit Operating expenses: Salaries expense Other operating expenses Depreciation expense Rent expense 8 10 12 61 14 2 Total operating expenses Earnings from operations Interest expense Earnings before income taxes Income tax expense Net earnings Earnings per share 16 5 $ 11 $ 10.95 3. Prepare the assets section only of a classified statement of financial position as at December 31, 2020. (Enter the final answers in thousands of Canadian dollars.) FASHION WORLD INC. Partial Statement of Financial Position As at December 31, 2020 (in thousands of Canadian dollars) Assets Current assets: $ 14 Merchandise inventory 26 Accounts receivable 30 70 37 Total current assets Investments Furniture and equipment, at cost Less: Accumulated depreciation Total nor assets $ 69 29 Total assets $ 147 4. Compute the return on assets (ROA) based on your answers to the previous requirements. Assume that the company reported total assets of $186,200 at December 31, 2019. (Round percentage answer to 1 decimal places (i.e., 0.124 should be entered as 12.4).)
