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Please Help and Provide work!!!!! [The following information applies to the questions displayed below.] The comparative financial statements prepared at December 31, 2015, for Prince
Please Help and Provide work!!!!!
[The following information applies to the questions displayed below.]
The comparative financial statements prepared at December 31, 2015, for Prince Company showed the following summarized data: |
2015 | 2014 | |||||
Income statement: | ||||||
Sales revenue | $ | 191,800 | * | $ | 167,300 | |
Cost of goods sold | 112,200 | 101,500 | ||||
Gross profit | 79,600 | 65,800 | ||||
Operating expenses and interest expense | 57,500 | 54,500 | ||||
Pretax income | 22,100 | 11,300 | ||||
Income tax | 6,630 | 3,390 | ||||
Net income | $ | 15,470 | $ | 7,910 | ||
Balance sheet: | ||||||
Cash | $ | 5,400 | $ | 5,900 | ||
Accounts receivable (net) | 15,000 | 16,200 | ||||
Inventory | 40,300 | 33,800 | ||||
Operational assets (net) | 45,000 | 37,300 | ||||
$ | 105,700 | $ | 93,200 | |||
Current liabilities (no interest) | $ | 14,300 | $ | 15,300 | ||
Long-term liabilities (10% interest) | 44,700 | 44,700 | ||||
Common stock (par $5) | 29,300 | 29,300 | ||||
Retained earnings | 17,400 | 3,900 | ||||
$ | 105,700 | $ | 93,200 | |||
*One-third was credit sales.
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