Requirements: Create the basic three financial statements for the prior year. 1. Create a formal classified Income Statement for the current year (including earnings per share). 2. Create a formal Statement of Retained Earnings for the current year. 3. Create a formal classified Balance Sheet for the current year. 4. Create a formal statement of Cash Flows (indirect method).

Acct 202 Project 1 Thor's Trading Company Inc. -Spring 2019- The following information relating to Ragnarok Inc. was taken from the adjusted trial balances of the year just ended and the prior year. AL S R, E Accounts Current Year $3,000,00 Prior Yea ccounts Payable L Current ccounts Receivable A ccumulated Depreciation-Building A ccumulated Depreciation- Equipment 3,880,000 6,000,000 1,800,00 7,548,00 900 PPO H Administrative Salary Expense E HAdministrative Supply Expense 5 Advertising Expense 4,424,0004,662,000 Allowance for Uncollectible AccountsR Contro /R Amortization Expense($400,000 Franchise & $600,000 Patents) Uncollectible Account Expense ad Bonds Payable Lona Te Building A Lona PTE 1,000,00 1,000,000 28,000,000 39,000.000 58,000,000 57.974,00 ash A Cuusre 5,500,00 12.408,000 24,000,00 ommon Stock, $10 Par value, 2,000,000 Shares Authorized, 1,200,000 Shares Issued, 1,165,000 outstanding 2019 5 Delivery Expense (to our customers 6,072 reciation Expense - Building eciation Expense- Equipment yb0 coo 500,0 16,100,000 12,000,000 ividends Declared ($800,000 to P/S& remainder to C/S) Dividends Payable Equipment A LangteM Freight-in Franchise, net A Income Tax Expense (see not 1) Insurance Expense Interest Expense nventory, beginnin nventory, endin nvestment in Sregor Inc. Common Stock (controlling interest 30,000,000 29,928,000 1812,00 6,600,00 1,624,00 6.200, 400,000 Co 10,300,000 400,000 10,300,00 10,000,000 and (currently in use) A Land (held for future use) A longerM 2,600,00 ortgage Payable (S4,000,000 of it is current Paid in Capital in Excess of Par Value, Common Stock $ Paid in Capital in Excess of Par Value, Preferred Stock Patents, net T 0 28,800,000 1,400,000 24,800,00 1,400,000 1,000,000 2,200,0002,800,00 referred Stock, $10 Par Value, 8%, 1,600,000 Shares Authorized, and 1,000,000 Issued and Outstanding Premium on Bonds Payable 1,146,0001,146,000 1,500, 1,400,00 Prepaid Expenses Purchases E Purchase Discounts 112,954,000 115,472,00 2,256,0001,236,00 Da sPRent Expense 2,000,000 12,014,00 2,000,000 Retained Earnings, Beginning Balance Sales Revenue Sales Discounts 3,994,00 191174.000 1 185,804,000 280,00 624,00 o Sales Returns and Allowances Q Coni S Sales Salary Expense 5 Sales Supply Expense 606,00 6,614,00 1,376,00 9,110, 1,424,00 1,000,00 Supply Invento Treasury Stock, (35,000 Shares) 5 Contre nearned Revenues L S 1,000,000 6,400,000 1,050,00 5,380,0 lity Expense Additional Information: The Company's policy on Income Tax Expense is to pay the full amount when due on April 15,of the following year. Since it was not been paid in the year incurred, it is classified on the Balance Sheet as an Income Tax Payable. Round to the nearest dollar The year-end market price per share of common stock is $80 for the current year Depreciation on Equipment, Rent, Insurance, and Utility Expense are allocated 80% to Selling and 20% to General and Administrative. The company's policy is to use four classifications of expenses on the Income Statement Cost of Goods Sold, Selling, General and Administrative, and Income Tax. General and Administrative catch all costs that do not clearly fit in the other classifications Requirements: Create the basic three financial statements for the prior year Create a formal classified Income Statement for the current year (include earnings per share) Create a formal Statement of Retained Earnings for the current year 3 Create a formal classified Balance Sheeh for the current year Create a formal Statement of Cash Flows (Indirect Method) The preferred stock was issued to retire $11,000,000 of bonds. This was considered a non-cash financing activity. There were no other non-cash financing or investing activities In the current year the Company purchased Sregor Stock, land for future use, building improvements, and office equipment In the current year, the Company paid dividends, the current portion of the mortgage, and purchased treasury stock. Calculate all the ratios listed in Chapter 15 for the current year only Prepare a horizontal analysis and a vertical analysis of the current year's Income Statement and Balance Sheet for extra credit, if you wish Acct 202 Project 1 Thor's Trading Company Inc. -Spring 2019- The following information relating to Ragnarok Inc. was taken from the adjusted trial balances of the year just ended and the prior year. AL S R, E Accounts Current Year $3,000,00 Prior Yea ccounts Payable L Current ccounts Receivable A ccumulated Depreciation-Building A ccumulated Depreciation- Equipment 3,880,000 6,000,000 1,800,00 7,548,00 900 PPO H Administrative Salary Expense E HAdministrative Supply Expense 5 Advertising Expense 4,424,0004,662,000 Allowance for Uncollectible AccountsR Contro /R Amortization Expense($400,000 Franchise & $600,000 Patents) Uncollectible Account Expense ad Bonds Payable Lona Te Building A Lona PTE 1,000,00 1,000,000 28,000,000 39,000.000 58,000,000 57.974,00 ash A Cuusre 5,500,00 12.408,000 24,000,00 ommon Stock, $10 Par value, 2,000,000 Shares Authorized, 1,200,000 Shares Issued, 1,165,000 outstanding 2019 5 Delivery Expense (to our customers 6,072 reciation Expense - Building eciation Expense- Equipment yb0 coo 500,0 16,100,000 12,000,000 ividends Declared ($800,000 to P/S& remainder to C/S) Dividends Payable Equipment A LangteM Freight-in Franchise, net A Income Tax Expense (see not 1) Insurance Expense Interest Expense nventory, beginnin nventory, endin nvestment in Sregor Inc. Common Stock (controlling interest 30,000,000 29,928,000 1812,00 6,600,00 1,624,00 6.200, 400,000 Co 10,300,000 400,000 10,300,00 10,000,000 and (currently in use) A Land (held for future use) A longerM 2,600,00 ortgage Payable (S4,000,000 of it is current Paid in Capital in Excess of Par Value, Common Stock $ Paid in Capital in Excess of Par Value, Preferred Stock Patents, net T 0 28,800,000 1,400,000 24,800,00 1,400,000 1,000,000 2,200,0002,800,00 referred Stock, $10 Par Value, 8%, 1,600,000 Shares Authorized, and 1,000,000 Issued and Outstanding Premium on Bonds Payable 1,146,0001,146,000 1,500, 1,400,00 Prepaid Expenses Purchases E Purchase Discounts 112,954,000 115,472,00 2,256,0001,236,00 Da sPRent Expense 2,000,000 12,014,00 2,000,000 Retained Earnings, Beginning Balance Sales Revenue Sales Discounts 3,994,00 191174.000 1 185,804,000 280,00 624,00 o Sales Returns and Allowances Q Coni S Sales Salary Expense 5 Sales Supply Expense 606,00 6,614,00 1,376,00 9,110, 1,424,00 1,000,00 Supply Invento Treasury Stock, (35,000 Shares) 5 Contre nearned Revenues L S 1,000,000 6,400,000 1,050,00 5,380,0 lity Expense Additional Information: The Company's policy on Income Tax Expense is to pay the full amount when due on April 15,of the following year. Since it was not been paid in the year incurred, it is classified on the Balance Sheet as an Income Tax Payable. Round to the nearest dollar The year-end market price per share of common stock is $80 for the current year Depreciation on Equipment, Rent, Insurance, and Utility Expense are allocated 80% to Selling and 20% to General and Administrative. The company's policy is to use four classifications of expenses on the Income Statement Cost of Goods Sold, Selling, General and Administrative, and Income Tax. General and Administrative catch all costs that do not clearly fit in the other classifications Requirements: Create the basic three financial statements for the prior year Create a formal classified Income Statement for the current year (include earnings per share) Create a formal Statement of Retained Earnings for the current year 3 Create a formal classified Balance Sheeh for the current year Create a formal Statement of Cash Flows (Indirect Method) The preferred stock was issued to retire $11,000,000 of bonds. This was considered a non-cash financing activity. There were no other non-cash financing or investing activities In the current year the Company purchased Sregor Stock, land for future use, building improvements, and office equipment In the current year, the Company paid dividends, the current portion of the mortgage, and purchased treasury stock. Calculate all the ratios listed in Chapter 15 for the current year only Prepare a horizontal analysis and a vertical analysis of the current year's Income Statement and Balance Sheet for extra credit, if you wish