Q3.
The following are all changes in the account balances of Sarasota Ltd. during the current year, except for Retained Earnings: Increase Increase (Decrease ) (Decrease ) Cash $90,000 Accounts payable $(70,900 ) Accounts receivable (net) 64,000 Unearned revenue 24,000 Inventory 161,000 Bonds payable 77,800 Investments in FV-Nl securities (26,000 ) Common shares 120,000 Contributed surplus 69,900 Calculate the net income for the current year, assuming that there were no entries in the Retained Earnings account except for net income and a dividend declaration of $21,600, which was paid in the current year. Net income for the current year $ ' In 2020, Grouper Corp. had cash receipts from customers of $154,000 and cash payments for operating expenses of $97,000. At January 1, 2020, accounts receivable were $16,000 and total prepaid expenses were $15,300. At December 31, 2020. accounts receivable were $20,700 and total prepaid expenses were $22,200. Calculate the following: (a) Total Service Revenue $ ' (b) Total OperatingExpenses $l The shareholders' equity section of Ayayai Corporation as at December 31, 2020, follows: 10% cumulative preferred shares, 100,000 shares authorized, 61,000 shares outstanding $4,400,000 Common shares, 10 million shares authorized and issued 10,000,000 Contributed surplus 10,000,000 24,400,000 Retained earnings 171,000,000 $195,400,000 Net income of $25 million for 2020 reects a total effective tax rate of 26%. Included in the net income gure is a loss of $17 million (before tax) relating to the operations of a business segment that is to be discontinued. Calculate earnings per share information as it should appear in the nancial statements of Ayayai Corporation for the year ended December 31, 2020. (Round answers to 2 decimal places, e3. 52.75.) Earnings per share Continuing Operations $ Discontinued Operations Net Income / (Loss) $ Bramble Corporation had net sales revenue of $5,810,000 and investment revenue of $224,000 for the year ended December 31, 2020. Other items pertaining to 2020 were as follows: Cost of goods sold $4,610,000 Salaries and wages expense (sales) 364,000 Advertising expense 127,000 Entertainment expense 82,000 Selling expenses 573,000 Salaries and wages expense (administrative) 300,000 Rent expense 112,000 Utilities expense 43,000 Administrative expenses 455,000 Increase in value of company reputation 75,000 Unrealized gain on value of patents 38,000 Interest expense 167,000 Income tax expense 88,000 Bramble has 100,000 common shares outstanding throughout the year. Prepare a multiple~step income statement for Bramble Corporation, showing expenses by function. Include calculation of EPS. (Round per share answer to 2 decimal places, e3. 52. 75.) Bramble Corporation Income Statement A v 4 4 4 Assume the average market price for the common shares is $49.35. What is Bramble's price-earnings ratio? Price earnings ratio is
