Part 1 You're working at the accounting department for Costco. You're been asked to generate the following for the fiscal year ended August, 2021: 1 Set of journal entries (Dr/Cr format) for all transactions that happened during the year 2 Transaction table for the same 3 Balance sheet account details by account (BB, additions, reductions, EB). Hint: use the balance sheet accounts as presented on the starting balance sheet 4 Income statement for the year. Hint: please aggregate accounts based on additional information provided. 5 Balance sheet for year-end August, 2021 6 Statement of shareholders equity for the year 7 Direct statement of cash flows for the year 8 Indirect statement of cash flows for the year You're starting out with a balance sheet as of August 30, 2020 (please see the financial statements tab) You've been provided the list of events that occurred during fiscal year 2021 (please see the events tab) You've also been provided with some additional information (please see the additional information tab) Balance Sheet ($ in mm) x Year-ended 30-Aug-20 29-Aug-21 ASSETS CURRENT ASSETS Cash and cash equivalents Short-term investments Receivables, net Merchandise inventories Other current assets Total current assets 12,277 1,028 1,550 12,242 1,023 28,120 1,023 OTHER ASSETS Property and equipment, net Other long-term assets TOTAL ASSETS 21,807 5,629 55,556 5,629 LIABILITIES AND EQUITY CURRENT LIABILITIES Accounts payable Accrued salaries and benefits Deferred membership fees Other current liabilities Total current liabilities 14,172 3,605 1,851 5, 121 24,749 OTHER LIABILITIES Long-term debt Other long-term liabilities TOTAL LIABILITIES 7,609 4,493 36,851 4,493 4 EQUITY Common stock Additional paid-in capital Accumulated other comprehensive loss Retained earnings Total Costco stockholders' equity 4 6,698 (1,297) 13,300 18,705 (1,297) TOTAL LIABILITIES AND EQUITY 55,556 Note: all the events are recorded in $ in mm unless otherwise indicated $ $ $ $ $ 192,000 Net sales 75% of net sales were on account; the rest in cash 140,000 of receivables in cash 100 worth of receivables will never be collected due to customer default. This uncollectible has not been recorded previously, but the company expects uncollectibles of similar magnitude to continue in the future. 4,500 worth of new member subscriptions have been signed up 4,000 worth of new member subscriptions were signed up during last year and recognized as revenue this year 3,100 units of inventory (not $$!) over the year. Details on inventories are provided within additional information sheet Purchases were made on account. 100 worth of short-term investments at book value 3,600 in cash on PPE on the last day of the fiscal year $ $ 1 During the year, Costco recorded 2 Costco collected 3 Accountants noted that 4 During the year, 5 Costco noted that 6 Costco recorded COGS associated with the net sales. It sold 7 Costco also recorded inventory purchases for the year. 8 Costco divested 9 Costco spent 10 Accountants recorded depreciation for the year 11 Costco paid 12 Accountants noted that administrative employees earned 13 Costco paid 14 Costco recorded 15 Costco recorded interest expense for the year. Paid cash 16 Costco recorded income tax for the year and paid cash. Income tax rate this year was 17 Costco also paid 18 On the last day of the year, Costco repaid 19 During the year, Costco paid 20 Costco repurchased $ $ $ $ 175,000 in cash for some of the inventories previously purchased on account 15,600 for the year. None of it has been paid in cash yet. 15,000 in cash to the employees in #12. 1,000 in costs associated with usage of electricity this year. Will pay cash next year $ $ $ 24.0% 500 cash in taxes accrued from last year 100 of long-term debt 2.98 per share in dividends($/share, not mm). Weithgted Average shares outstanding for the year was 1,358,000 shares Weighted average repurchase price was $ 364.39 per share 443,089,000 2021 Purchases list B & of August 2020 are below 2. Serior Not Part 1 You're working at the accounting department for Costco. You're been asked to generate the following for the fiscal year ended August, 2021: 1 Set of journal entries (Dr/Cr format) for all transactions that happened during the year 2 Transaction table for the same 3 Balance sheet account details by account (BB, additions, reductions, EB). Hint: use the balance sheet accounts as presented on the starting balance sheet 4 Income statement for the year. Hint: please aggregate accounts based on additional information provided. 5 Balance sheet for year-end August, 2021 6 Statement of shareholders equity for the year 7 Direct statement of cash flows for the year 8 Indirect statement of cash flows for the year You're starting out with a balance sheet as of August 30, 2020 (please see the financial statements tab) You've been provided the list of events that occurred during fiscal year 2021 (please see the events tab) You've also been provided with some additional information (please see the additional information tab) Balance Sheet ($ in mm) x Year-ended 30-Aug-20 29-Aug-21 ASSETS CURRENT ASSETS Cash and cash equivalents Short-term investments Receivables, net Merchandise inventories Other current assets Total current assets 12,277 1,028 1,550 12,242 1,023 28,120 1,023 OTHER ASSETS Property and equipment, net Other long-term assets TOTAL ASSETS 21,807 5,629 55,556 5,629 LIABILITIES AND EQUITY CURRENT LIABILITIES Accounts payable Accrued salaries and benefits Deferred membership fees Other current liabilities Total current liabilities 14,172 3,605 1,851 5, 121 24,749 OTHER LIABILITIES Long-term debt Other long-term liabilities TOTAL LIABILITIES 7,609 4,493 36,851 4,493 4 EQUITY Common stock Additional paid-in capital Accumulated other comprehensive loss Retained earnings Total Costco stockholders' equity 4 6,698 (1,297) 13,300 18,705 (1,297) TOTAL LIABILITIES AND EQUITY 55,556 Note: all the events are recorded in $ in mm unless otherwise indicated $ $ $ $ $ 192,000 Net sales 75% of net sales were on account; the rest in cash 140,000 of receivables in cash 100 worth of receivables will never be collected due to customer default. This uncollectible has not been recorded previously, but the company expects uncollectibles of similar magnitude to continue in the future. 4,500 worth of new member subscriptions have been signed up 4,000 worth of new member subscriptions were signed up during last year and recognized as revenue this year 3,100 units of inventory (not $$!) over the year. Details on inventories are provided within additional information sheet Purchases were made on account. 100 worth of short-term investments at book value 3,600 in cash on PPE on the last day of the fiscal year $ $ 1 During the year, Costco recorded 2 Costco collected 3 Accountants noted that 4 During the year, 5 Costco noted that 6 Costco recorded COGS associated with the net sales. It sold 7 Costco also recorded inventory purchases for the year. 8 Costco divested 9 Costco spent 10 Accountants recorded depreciation for the year 11 Costco paid 12 Accountants noted that administrative employees earned 13 Costco paid 14 Costco recorded 15 Costco recorded interest expense for the year. Paid cash 16 Costco recorded income tax for the year and paid cash. Income tax rate this year was 17 Costco also paid 18 On the last day of the year, Costco repaid 19 During the year, Costco paid 20 Costco repurchased $ $ $ $ 175,000 in cash for some of the inventories previously purchased on account 15,600 for the year. None of it has been paid in cash yet. 15,000 in cash to the employees in #12. 1,000 in costs associated with usage of electricity this year. Will pay cash next year $ $ $ 24.0% 500 cash in taxes accrued from last year 100 of long-term debt 2.98 per share in dividends($/share, not mm). Weithgted Average shares outstanding for the year was 1,358,000 shares Weighted average repurchase price was $ 364.39 per share 443,089,000 2021 Purchases list B & of August 2020 are below 2. Serior Not