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Below is a list of accounts and balances for FlipFlop Inc. for the year ending June 30, 2020. All balances are in thousands of dollars. Flip Flop Inc. follows IFRS. Assume a tax rate of 15%. Exclude the presentation of earnings per share for this question. Account Title Balance Accounts Payable $8,900 Accounts Receivable $13,700 Accumulated Depreciation $1,100 Advertising Expense $1,400 Cash $19,400 Cash Dividends $3,200 Common Shares $8,700 Cost of Goods Sold $18,360 Depreciation Expense-Office Equipment $80 Depreciation Expense-Store Equipment $700 Gain on Foreign Currency Translation Adjustments $280 Gain on Sale of Discontinued Operations $2,100 Income from Operating Discontinued Operations $7,100 Interest Expense $950 Merchandise Inventory $18,100 Miscellaneous Administrative Expenses $590 Notes Payable $19,000 Office Salaries Expense $1,500 Prepaid Insurance $1,800 Property, Plant and Equipment $27,300 Rent Expense-Office 5460 Rent Expense-Retail $1,020 Retained Earnings (beginning balance) $22.409 Sales Salaries Expense $2,700 Sales Discounts $1,000 Sales Returns and Allowances $630 Sales Revenue $45,900 Unearned Revenue $1,300 Notes: Unlimited common shares are authorized and 2,330 have been issued and are currently outstanding. The notes payable is payable over 5 years and $3,800 will be paid by June 30, 2021. Do not enter dollar signs or commas in the input boxes. Round all answers to the nearest whole number, Do not use the negative sign for any values a) Prepare a statement of comprehensive income by function for the year ended June 30, 2020. Flip Flop Inc. Statement of Comprehensive Income For the Year Ended June 30, 2020 Sales Revenue (net) Cost of Goods Sold Gross Profit Selling Expenses Administrative Expenses Operating Profit Finance Costs Profit before Income Tax Income Tax Expense Profit for the Year from Continuing Operations Profit for the Year from Discontinued Operations Profit for the Year Other Comprehensive Income, Net of Tax Gain on Foreign Currency Translation Adjustments (net of tax) Total Comprehensive Income b) Prepare a statement of changed in equity for the year ended June 30, 2020. There was no opening balance in the accumulated other income account and Flip Flop Inc. did not issue any new common shares in the fiscal year ended June 30, 2020. FlipFlop Inc. Statement of Changed in Equity For the Year Ended June 30, 2020 Common Shares Retained Earnings Reserves Total Equity Opening Balance Profit for the Year/Net Income Other Comprehensive Income Foreign Currency Translation Adjustments Total Comprehensive Income Transactions with Owners Dividends on Common Shares Total Transactions with Owners Closing Balance c) Prepare a statement of financial position as at June 30, 2020. FlipFlop Inc. Statement of Financial Position As at June 30, 2020 Assets Long-Term Assets Property, Plant and Equipment (net) Total Long-Term Assets Current Assets Prepaid Insurance Merchandise Inventory ventory Accounts Receivable Cash Total Current Assets Total Assets Equity Attributable to Owners Common Shares, unlimited authorized, issued Retained Earnings Reserves Total Equity Attributable to Owners Liabilities Long-Term Liabilities Notes Payable. Long-Term Portion Total Long-Term Liabilities Current Liabilities Accounts Payable Unearned Revenue Notes Payable. Current Portion Total Current Liabilities Total Liabilities Total Equity and Liabilities
