How to solve them..equation and explain ..please..

1. Selected information from the companys financial records is presented below

Equipment, December 31, 2013	$300,000
Equipment, December 31, 2014	400,000
Accumulated depreciation, December 31, 2013	80,000
Accumulated depreciation, December 31, 2014	60,000

During 2014, the company sold equipment with a cost of $50,000 and accumulated depreciation of $30,000. A gain of $10,000 was recognized on the sale of the equipment. This was the only equipment sale during the year. Refer to Metalcrafts, Inc. What amount would be reported as the cash proceeds from the sale of equipment? A. $50,000 B. $20,000 C. $10,000 D. $30,000

2. Selected information from the companys financial records is presented below:

Equipment, December 31, 2013	$300,000
Equipment, December 31, 2014	400,000
Accumulated depreciation, December 31, 2013	80,000
Accumulated depreciation, December 31, 2014	60,000

During 2014, the company sold equipment with a cost of $50,000 and accumulated depreciation of $30,000. A gain of $10,000 was recognized on the sale of the equipment. This was the only equipment sale during the year. Refer to Metalcrafts, Inc. What was depreciation expense for 2014? A. $30,000 B. $10,000 C. $40,000 D. $50,000

3. Selected information from the companys financial records is presented below:

Equipment, December 31, 2013	$300,000
Equipment, December 31, 2014	400,000
Accumulated depreciation, December 31, 2013	80,000
Accumulated depreciation, December 31, 2014	60,000

During 2014, the company sold equipment with a cost of $50,000 and accumulated depreciation of $30,000. A gain of $10,000 was recognized on the sale of the equipment. This was the only equipment sale during the year. Refer to Metalcrafts, Inc. Assume that all purchases of equipment were paid with cash. How much cash was paid to purchase equipment during 2014? A. $50,000 B. $200,000 C. $150,000 D. $250,000

4. Information from the financial records is presented below:

Retained earnings, December 31, 2014	$400,000
Retained earnings, December 31, 2013	250,000
Dividends payable, December 31, 2014	20,000
Dividends payable, December 31, 2013	30,000
Net income for 2014	200,000

Refer to Memorial Corporation. Assume that there were no retained earnings transactions other than those dealing with dividends and net income. Dividends declared during 2014 totaled: A. $150,000 B. $350,000 C. $ 30,000 D. $ 50,000

5. Information from the financial records is presented below:

Retained earnings, December 31, 2014	$400,000
Retained earnings, December 31, 2013	250,000
Dividends payable, December 31, 2014	20,000
Dividends payable, December 31, 2013	30,000
Net income for 2014	200,000

Refer to Memorial Corporation. How much cash was paid for dividends during 2014? A. $40,000 B. $50,000 C. $60,000 D. $80,000

6. Information from the companys financial records is presented below:

Notes payable, December 31, 2013	$1,000,000
Notes payable, December 31, 2014	1,200,000
Loss on Note retirement--2014	45,000
Interest expense on bonds--2014	75,000

At the end of 2014, the company issued notes at par value for $1,200,000 cash. The proceeds were used to retire the $1,000,000 note issue outstanding at the end of 2013 (before their maturity date). All interest expense was paid in cash during 2014. Refer to Medstar Ambulance Service. How much was paid to retire the $1,000,000 note issue during 2014? A. $ 800,000 B. $1,200,000 C. $1,045,000 D. $1,075,000

7. Information from the companys financial records is presented below:

Notes payable, December 31, 2013	$1,000,000
Notes payable, December 31, 2014	1,200,000
Loss on Note retirement--2014	45,000
Interest expense on bonds--2014	75,000

At the end of 2014, the company issued notes at par value for $1,200,000 cash. The proceeds were used to retire the $1,000,000 note issue outstanding at the end of 2013 (before their maturity date). All interest expense was paid in cash during 2014. Refer to Medstar Ambulance Service. The following statements describe how the company reported the cash flow effects of the items described above on its 2014 statement of cash flows. The indirect method is used to prepare the operating activities section. Which of the following has been reported incorrectly? A. Proceeds of $1,200,000 from the issuance of notes were reported as a cash inflow in the financing activities section. B. The loss on note retirement of $45,000 was added to net income in the operating activities section. C. Payments of $1,260,000 were reported as a cash outflow in the investing activities section. D. Interest expense of $75,000 was not reported separately because it is included in net income in the operating activities section.

8. A company reported the following information:

Accounts payable, December 31, 2013	$ 60,000
Accounts payable, December 31, 2014	80,000
Inventory, December 31, 2013	45,000
Inventory, December 31, 2014	60,000
Cost of goods sold--2014	1,000,000

Assuming all merchandise purchases were on account, how much cash was paid to suppliers for merchandise purchases during 2014? A. $1,005,000 B. $1,050,000 C. $ 995,000 D. $1,020,000

9. A company reported the following information:

	2014	2013
Accounts receivable	$50,000	$ 65,000
Inventories	43,000	40,000
Accounts payable	29,000	39,000
Net income	100,000
Depreciation expense	11,000

If the indirect method is used to prepare the operating activities section of the statement of cash flows, what amount will be reported as net cash inflow from operating activities for 2014? A. $92,000 B. $109,000 C. $111,000 D. $113,000

10. Mercury Corporation reported the following information on its financial statements:

	2014	2013
Accounts receivable	$150,000	$120,000
Prepaid expenses	9,000	10,000
Accounts payable	65,000	80,000
Salaries payable	12,000	5,000
Net income	200,000
Depreciation expense	14,000
Gain on sale of equipment	6,000

If the company uses the indirect method to prepare the operating activities section of the statement of cash flows, what amount will be reported as net cash inflow from operating activities for 2014? A. $171,000 B. $215,000 C. $245,000 D. $183,000