Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Headland Company had avaliable at the end of 2025 the following information. begin{tabular}{|c|c|c|} hline multicolumn{3}{|c|}{begin{tabular}{l} Headland Company Comparative Balance Sheets As of December

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Headland Company had avaliable at the end of 2025 the following information. \begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|c|}{\begin{tabular}{l} Headland Company \\ Comparative Balance Sheets \\ As of December 31,2025 and 2024 \end{tabular}} \\ \hline * & 2025 & 2024 \\ \hline Cash & $9,950 & $3,990 \\ \hline Accounts recelvable & 20.680 & 12,890 \\ \hline Short-term investments & 22,180 & 29,970 \\ \hline Inventory & 42,300 & 35,140 \\ \hline Prepaid rent & 3,000 & 11.880 \\ \hline Prepoid insurance & 2,080 & 91 \\ \hline Supplies & 1,010 & 74 \\ \hline Land & 124,180 & 176,410 \\ \hline Bulldings & 350,770 & 350,770 \\ \hline Accumulated depreciation-bulldings & (104,490) & (86,770) \\ \hline Equipment & 519,790 & 398,650 \\ \hline Accumulated depreciation-equipment & (129,460) & (112,570) \\ \hline Patents & 44,710 & 49,580 \\ \hline Total assets & $906,700 & $870,105 \\ \hline Accounts payable & $21,890 & $31,870 \\ \hline Income taxes payable & 5.040 & 4,020 \\ \hline Salaries and wages payable & 5,000 & 3,020 \\ \hline Short-term notes payable & 10,100 & 10,100 \\ \hline Long-term notes paryable & 59,520 & 70,530 \\ \hline Bonds paryable & 396.250 & 396.250 \\ \hline Premium on bonds payable & 22.650 & 25,755 \\ \hline Common stock & 238,820 & 221,880 \\ \hline Paid-in capital in excess of par-common stock. & 25,040 & 17,450 \\ \hline Retained earnings & 122,390 & 89.230 \\ \hline Total liabilities and stockholders' equity. & $906,700 & $870.105 \\ \hline \end{tabular} Headland Company Income Statement and Dividend Information For the Year Ended December 31, 2025 \begin{tabular}{lr} \hline Sales revenue & $1,166,560 \\ Cost of goods sold & 749,970 \\ \cline { 2 - 2 } Gross margin & 416,590 \end{tabular} \begin{tabular}{|c|c|c|} \hline Selling expenses & $79,290 & \\ \hline Administrative expenses & 156,820 & \\ \hline D. & 394804 & \\ \hline Depreciation/Amortization expense & 39,480 & \\ \hline Total operating expenses & & 275,590 \\ \hline Income from operations & & 141,000 \\ \hline Other revenues/expenses & & \\ \hline Gain on sale of land & 8,060 & \\ \hline Gain on sale of short-term investment & 4,030 & \\ \hline Dividend revenue & 2,420 & \\ \hline Interest expense & (52,030) & (37,520) \\ \hline Income before taxes & & 103,480 \\ \hline Income tax expense & & 39,470 \\ \hline Net income & , & 64,010 \\ \hline Dividends to common stockholders & & (30,850) \\ \hline To retained earnings & & $33,160 \\ \hline \end{tabular}

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

Principles of Cost Accounting

Authors: Edward J. Vanderbeck

16th edition

9781133712701, 1133187862, 1133712703, 978-1133187868

More Books

Students also viewed these Accounting questions

Question

In what ways can confl ict enrich relationships?

Answered: 1 week ago

Question

How do listening and hearing diff er?

Answered: 1 week ago

Question

How does eff ective listening diff er across listening goals?

Answered: 1 week ago