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Prepare adjusting entries to convert each of the items from GAAP to IFRS. These entries will be posted to the worksheet to determine the new
Prepare adjusting entries to convert each of the items from GAAP to IFRS. These entries will be posted to the worksheet to determine the new balances in the accounts. For each adjustment, there will be an income statement (or comprehensive income statement) effect and a balance sheet effect. Recall that only current year expenses should be charged against the current year revenues. Adjustments to prior years expenses increase or decrease Retained Earnings
Reveal Technologies, Inc. Consolidated Statement of Operations (In Thousands, except per share data) Year Ended December 31, 2020 2019 2018 152,312 $ 172,121 $ 129,656 91,394 101,250 76,366 60,918 70,871 53,290 32,179 2,475 3,968 900 Revenue Cost of sales Gross profit Operating expenses: Selling, general and administrative Research and development Amortization Depreciation Impairment of goodwill Impairment of long-lived assets Total operating expenses Operating income (loss) Interest expense and other charges Net Income (loss) Net loss per share, basic and diluted Weighted average shares outstanding, basic and diluted 44,030 42,408 3,712 2,372 4,068 5,010 2,000 1,100 10,702 10,480 2,001 74,992 52,891 (14,074) 17,980 (3,853) (2,506) (17,927) $ 15,474 $ (0.88) $ 0.81 $ 20,487 19,034 39,522 13,768 (1,481) 12,287 0.82 14,930 $ $ Reveal Technologies, Inc. Consolidated Statements of Stockholders' Equity Years Ended Decmber 31, 2020, 2019 and 2018 (In thousands) Common Stock Retained Earnings Total Stocholders' Equity Additional Paid-in- Capital - 59,100 6,016 (547) $ - 12,287 12,287 Balance, January 1, 2018 Issuance of common stock for cash, net of issuance costs Shares issued for contingent consideration and acquisition Cancellation of reacquired escrowed common stock Net income Balance, December 31, 2018 Issuance of common stock for cash, net of issuance costs Shares issued for contingent consideration and acquisition Net income Balance, December 31, 2019 Shares issued for contingent consideration and acquisition Net income Balance, December 31, 2020 64,569 16,189 6,628 59,114 6,018 (547) 12,287 76,872 16,192 6,629 15,474 115,168 1,196 (17,927) 98,437 15,474 27,761 87,386 1,196 (17,927) 9,834 $ 21 $ 88,582 $ $ Reveal Technologies, Inc. Consolidated Balance Sheets (In Thousands, except per share data) December 31, 2020 2019 ASSETS Current Assets Cash and cash equivalents Trade receivable, net of allowance for doubtful accounts Unbilled contracts receivable Inventories, net Vendor de posits, prepaid expenses and other Total current assets Property, plant and equipment, net Goodwill Intangible assets, net Other assets, net Total assets 1,945 $ 42,972 11,083 26,164 9,510 91,674 12,679 61,508 28,372 1,077 195,310 $ 883 49,201 10,167 26,678 8,363 95,292 9,517 72,074 43,809 704 221,396 $ $ LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Accounts payable Accrued and other liabilities Notes payable Total current liabilities Revolving credit facility Notes payable Other noncurrent liabilities Total liabilities Contingencies and Commitments Stockholders' Equity Common stock, par value $0.001 35,000 shares authorized and 21,352 shares issued and outstanding at December 31, 2020 and 35,000 shares authorized and 20,893 shares issued and outstanding at December 31, 2019 Additional paid-in-capital Retained Earnings Total stockholders' equity Total liabilities and stockholders' equity 28,833 $ 11,570 5,428 45,831 38,633 11,990 419 96,873 32,409 11,671 5,997 50,077 25,993 26,347 1,309 103,726 21 88,582 9,834 98,437 195,310 87,386 27,761 115,168 218,894 $ $ Reveal Technologies, Inc. Consolidated Statement of Operations (In Thousands, except per share data) Year Ended December 31, 2020 2019 2018 152,312 $ 172,121 $ 129,656 91,394 101,250 76,366 60,918 70,871 53,290 32,179 2,475 3,968 900 Revenue Cost of sales Gross profit Operating expenses: Selling, general and administrative Research and development Amortization Depreciation Impairment of goodwill Impairment of long-lived assets Total operating expenses Operating income (loss) Interest expense and other charges Net Income (loss) Net loss per share, basic and diluted Weighted average shares outstanding, basic and diluted 44,030 42,408 3,712 2,372 4,068 5,010 2,000 1,100 10,702 10,480 2,001 74,992 52,891 (14,074) 17,980 (3,853) (2,506) (17,927) $ 15,474 $ (0.88) $ 0.81 $ 20,487 19,034 39,522 13,768 (1,481) 12,287 0.82 14,930 $ $ Reveal Technologies, Inc. Consolidated Statements of Stockholders' Equity Years Ended Decmber 31, 2020, 2019 and 2018 (In thousands) Common Stock Retained Earnings Total Stocholders' Equity Additional Paid-in- Capital - 59,100 6,016 (547) $ - 12,287 12,287 Balance, January 1, 2018 Issuance of common stock for cash, net of issuance costs Shares issued for contingent consideration and acquisition Cancellation of reacquired escrowed common stock Net income Balance, December 31, 2018 Issuance of common stock for cash, net of issuance costs Shares issued for contingent consideration and acquisition Net income Balance, December 31, 2019 Shares issued for contingent consideration and acquisition Net income Balance, December 31, 2020 64,569 16,189 6,628 59,114 6,018 (547) 12,287 76,872 16,192 6,629 15,474 115,168 1,196 (17,927) 98,437 15,474 27,761 87,386 1,196 (17,927) 9,834 $ 21 $ 88,582 $ $ Reveal Technologies, Inc. Consolidated Balance Sheets (In Thousands, except per share data) December 31, 2020 2019 ASSETS Current Assets Cash and cash equivalents Trade receivable, net of allowance for doubtful accounts Unbilled contracts receivable Inventories, net Vendor de posits, prepaid expenses and other Total current assets Property, plant and equipment, net Goodwill Intangible assets, net Other assets, net Total assets 1,945 $ 42,972 11,083 26,164 9,510 91,674 12,679 61,508 28,372 1,077 195,310 $ 883 49,201 10,167 26,678 8,363 95,292 9,517 72,074 43,809 704 221,396 $ $ LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Accounts payable Accrued and other liabilities Notes payable Total current liabilities Revolving credit facility Notes payable Other noncurrent liabilities Total liabilities Contingencies and Commitments Stockholders' Equity Common stock, par value $0.001 35,000 shares authorized and 21,352 shares issued and outstanding at December 31, 2020 and 35,000 shares authorized and 20,893 shares issued and outstanding at December 31, 2019 Additional paid-in-capital Retained Earnings Total stockholders' equity Total liabilities and stockholders' equity 28,833 $ 11,570 5,428 45,831 38,633 11,990 419 96,873 32,409 11,671 5,997 50,077 25,993 26,347 1,309 103,726 21 88,582 9,834 98,437 195,310 87,386 27,761 115,168 218,894 $ $Step by Step Solution
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