Sudden Ltd$.$ is formed as a Canada Business Corporation. It pays an incorporation fee of $$20,000$ and pays legal fees of $$19,080$ to do this. Organization costs are set up as an intangible asset and are not amortized. Class A unrestricted, voting common shares sold at various times during the first year are $3,000$ @ $$11+19,080$@ $$13+4,000$@$$15.$

The Company received a $$86,410$ grant from the government to build a factory in an area of the country with chronic high unemployment. No dividends were paid the first year. Net income before tax in year $1$ is $$86,410.$ The firm has $$20,000$ liabilities at year end and a $25\%$ tax rate.

Required $1$: What is the net book balance of Organization Costs in the year end financial statements? $

Required $2$: What is the balance of the Share Capital account in the year end financial statements? $

Required $3$: What is the balance of the Contributed Surplus account in the year end financial statements? $

Required $4$: What is the balance of Retained Earnings in the year end financial statements? $

Required $5$: What is the amount of Total Assets in the year end financial statements? $Sudden Ltd$.$ is formed as a Canada Business Corporation. It pays an

incorporation fee of $$20,000$ and pays legal fees of $$19,080$ to do this.

Organization costs are set up as an intangible asset and are not amortized.

Class A unrestricted, voting common shares sold at various times during the

first year are $3,000$@$$11+19,080$@$$13+4,000$@$$15.$

The Company received a $$86,410$ grant from the government to build a

factory in an area of the country with chronic high unemployment. No

dividends were paid the first year. Net income before tax in year $1$ is $$86,410.$

The firm has $$20,000$ liabilities at year end and a $25\%$ tax rate.

Required $1$: What is the net book balance of Organization Costs in the year

end financial statements? $

Required $2$: What is the balance of the Share Capital account in the year end

financial statements? $

Required $3$: What is the balance of the Contributed Surplus account in the

year end financial statements? $

Required $4$: What is the balance of Retained Earnings in the year end

financial statements? $

Required $5$: What is the amount of Total Assets in the year end financial

statements? $