Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need help preparing an income statement and balance sheet. Assets $ Current Assets: Cash Accounts receivable Inventory Prepaid expenses Total current assets Fixed Assets:

I need help preparing an income statement and balance sheet.

image text in transcribed

image text in transcribed

image text in transcribed

Assets $ Current Assets: Cash Accounts receivable Inventory Prepaid expenses Total current assets Fixed Assets: Plant & equipment Less: Accum. depreciation Net plant & equipment Total Assets D & H Enterprises Balance Sheet for Year Ended December 31, 2017 Liabilities Current Liabilities: $60,000 Accounts payable 21,000 Notes payable 31,000 Total current liabilities 12,600 Notes payable 124,600 Bonds payable Total liabilites $ 256,000 Stockholder's Equity 51,200 Preferred stock 204,800 Common stock $329,400 Paid in capital in excess of par Retained earnings Total Equity Total Liab. & Equity 18,000 26,000 44,000 12,000 88,000 144,000 $ 26,000 61,000 31,000 67,400 185,400 329,400 $ $ D & H Enterprises Income Statement for year ended December 31, 2017 Sales $ 230,000 Cost of goods sold 126,500 Gross profit $ 103,500 Selling and administrative expense 24,500 Depreciation expense 26,000 Operating profit $ 53,000 Interest expense 20,580 Earnings before taxes $ 32,420 Taxes Earnings after taxes $ 24,315 Preferred stock dividends Earnings available to common stockholder $ 21,615 8,105 2,700 Shares outstanding Earnings per share 10000 2.16 $ $ $ 215,000 62% 21,000 9% 5% 8% 11% 25% 2,700 4,085 $ $ Sales for 2018 Cost of goods sold as percent of sales Selling and administration expenses Depreciation expense as percent of plant & equipment at beginning of the year Interest expense on Notes payable-based on December 31, 2017, balances Interest rate on Notes payable (5 year) - based on Dec. 31, 2017, balances Interest rate on Bonds payable-based on December 31, 2017, balances Tax rate Preferred dividends paid Common stock dividends paid During 2018, prepaid expenses balance was unchanged. Accounts receivable decreased in 2018 by Inventory increased in 2018 by New machine was purchased on December 31, 2018, at a cost of Accounts payable increased in 2018 by Notes payable (6 month) decreased at end of the year by Notes payable (5 year) increased at end of the year by Bonds payable increased at end of the year by Preferred stock Common stock increased by Paid in capital in excess of par Number of shares outstanding During 2018, cash balance increased by Market price per share of common as of December 31, 2017, was Market price per share of common as of December 31, 2018, was 3% 15% $ 65,000 6% $ 2,000 $ 9,000 $ 30,000 No change $ 5,000 No change 15000 9605 57.45) 51.93

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

Step: 3

blur-text-image

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

A Guide To Risk Based Internal Audit System In Banks

Authors: CA Shiva Chaudhari

1st Edition

1947498649, 978-1947498648

More Books

Students also viewed these Accounting questions

Question

Carry out the details of the proof of Theorem 4.

Answered: 1 week ago