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pe's Garage had the following accounts and amounts in its financial statements on December 31, 2019. Assume that all balance eet items reflect account balances
pe's Garage had the following accounts and amounts in its financial statements on December 31, 2019. Assume that all balance eet items reflect account balances at December 31, 2019, and that all income statement items reflect activities that occurred during e year then ended. Accounts receivable $32,300 Depreciation expense 11,200 Land 24,200 Cost of goods sold 89,000 Retained earnings 58,800 Cash 11,300 Equipment 69,500 Supplies 5,000 Accounts payable 22,700 Service revenue 20,600 Interest expense 1,200 Common stock 6,000 Income tax expense 23,113 Accumulated depreciation 42,000 Long-term debt 38,000 Supplies expense 13,500 Merchandise inventory 25,200 Net sales 174,000 Required: a. Calculate the total current assets at December 31, 2019. b. Calculate the total liabilities and stockholders' equity at December 31, 2019. c. Calculate the earnings from operations (operating income) for the year ended December 31, 2019. d. Calculate the net income (or loss) for the year ended December 31, 2019. e. What was the average income tax rate for Pope's Garage for 2019? f. If $19.500 of dividends had been declared and paid during the year, what was the January 1, 2019, balance of retained earnings? Total current assets b. Total liabilities and stockholders' equity Operating income d Average income tax rate Retained earnings
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