Question
The balance sheet of DCC Corp., as of the end of Quarter 2, is provided below. I need Help with The Statement of cash flow.
| The balance sheet of DCC Corp., as of the end of Quarter 2, is provided below. I need Help with The Statement of cash flow. I created the income statement and balance sheet already.
| ||||||||
| BS | ||||||||
| Assets | Liab. & Owners Equity | |||||||
| Cash | $11,300 | Accounts payable | $500 | |||||
| A/R | $1,000 | |||||||
| Inventory | Long-term debt | $8,000 | ||||||
| parts | $600 | Common Stock | $4,000 | |||||
| finished goods | $6,000 | ($2 par value) | ||||||
| Paid-in-surplus | $5,000 | |||||||
| Retained Earnings | $1,400 | |||||||
| Total Assets | $18,900 | Liab. & Owners Equity | $18,900 | |||||
| During Quarter 3: | ||||||||
| DCC purchased $3000 worth of parts, $1400 with cash, the remainder to be paid in Quarter 4. | ||||||||
| Sold 6 computers, each for $750. | ||||||||
| 4 were sold for cash, 2 were sold on credit with payment to be received in Quarter 4. | ||||||||
| The gross margin was 36% | ||||||||
| Annual interest rate on LTD was 3.2%. Interest is paid and expensed quarterly. | ||||||||
| SG&A expenses = $600 was paid in Quarter 3 | ||||||||
| The tax rate is 35% and Quarter 3 taxes will be paid in Quarter 4 | ||||||||
| The dividend payout ratio (dividends/Net Income) is 30% (paid immediately) | ||||||||
| 200 new shares of common stock were issued and sold for $1200 in Quarter 3 | ||||||||
| Purchased the warehouse DCC is located in for $20,000 cash on the first day of Quarter 3 | ||||||||
| $12,000 long-term debt was issued on the first day of the quarter | ||||||||
| The warehouse will be depreciated over 20 years. Depreciation is expensed quarterly. | ||||||||
| Create the Q3 income statement and the Q3 ending balance sheet. | ||||||||
| Create a SCF for Quarter 3. | ||||||||
| Round up the numbers - no decimal points | ||||||||
| Your report should present the IS, BS and SCF and should be on ONE page | ||||||||
| You have to use Excel to complete the assignment. Hand written work is unacceptable | ||||||||
| Income Statement | Balance Sheet Quater 3 | ||||||||
| Assets | Liab. & Owners Equity | ||||||||
| Revenue/ Sales | $4,500 | Cash | $2,341 | Accounts payable | $2,100 | ||||
| Cost of Goods Sold | $2,880 | A/R | $2,500 | ||||||
| Gross Profit | $1,620 | Tax Payable | $214 | ||||||
| Inventory parts | $3,600 | Long-term debt | $20,000 | ||||||
| SG&A Operating Expenses | $600 | Finished goods | $6,000 | Common Stock | $4,400 | ||||
| Depreciation | $250 | Warehouse | $19,750 | ($2 par value) | |||||
| Operating Profit, EBIT | $770 | Paid-in-surplus | $5,800 | ||||||
| Retained Earnings | $1,678 | ||||||||
| Interest Expense | $160 | ||||||||
| Total Assets | $34,191 | Liab. & Owners Equity | $34,191 | ||||||
| Profit before taxes | $610 | ||||||||
| Taxes | $214 | ||||||||
| Net Income | $397 | ||||||||
| Dividends Payout | $119 | ||||||||
| Net Income after dividens payout | $278 | ||||||||
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
