Question
The year-end financial statements of Acres company are presented below: Acres Company Balance Sheets December 31, 2010 2009 Increase/Decrease Cash 9,000 8,000 1,000 A/R 15,000
The year-end financial statements of Acres company are presented below:
Acres Company Balance Sheets December 31,
2010 | 2009 | Increase/Decrease | |
Cash | 9,000 | 8,000 | 1,000 |
A/R | 15,000 | 18,000 | (3,000) |
Inv | 44,000 | 45,000 | (1,000) |
Total Current Assets | 68,000 | 71,000 | (3,000) |
Patent | 16,000 | 0 | 16,000 |
LT invest in stock at cost | 12,000 | 14,000 | (2,000) |
PP&E | 82,000 | 68,000 | 14,000 |
Less:Accum Dep. | (19,000) | (18,000) | (1,000) |
Total Assets | 159,000 | 135,000 | 24,000 |
A/P | 15,000 | 12,000 | 3,000 |
Inc taxes payable, current | 8,000 | 6,000 | 2,000 |
Current Maturities on serial bonds Payable | 1,000 | 1,000 | 0 |
Total Current Liab | 24,000 | 19,000 | 5,000 |
Def. Income Taxes Payable, LT | 4,000 | 0 | 4,000 |
Serial Bonds Payable, 5% maturing at annual intervals beg, Jan 1, 2009 | 21,000 | 22,000 | (1,000) |
Premium on serials bonds payable | 1,000 | 1,100 | (100) |
Notes Payable, LT | 4,000 | 0 | 4,000 |
Common Stock | 50,000 | 45,000 | 5,000 |
Cont. Capital in excess of par | 5,000 | 3,900 | 1,100 |
Retained Earnings | 50,000 | 44,000 | 6,000 |
Total Liab & SE | 159,000 | 135,000 | 24,000 |
Acres Company Income Statement Year Ended December 31, 2010
Net Sales | 100,000 | |
Cost of Sales | (57,000) | |
Gross Profit | 43,000 | |
Operating Exp. | ||
Salaries | 2,000 | |
Depreciation | 4,000 | |
Patent Ammort | 1,000 | |
Interest | 2,500 | |
Income Taxes | ||
Current | 8,000 | |
Deferred | 4,000 | 21,500 |
21,500 | ||
Other Gains/Losses | ||
Gain on Sale of Inv | 3,000 | |
Loss of Sale of Machinery | (500) | |
Net Income | 24,000 |
Additional Information:
1. During 2010 part of the long-term investment in the common stock of Campbell Company was sold for $5,000. The cost of these shares was $2,000 at acquisition.
2. During 2010 machinery was sold for proceeds of $1,500, the cost of this machinery was $5,000. Accumulated depreciation on this machinery to date of disposal was $3,000.
3. During 2010 Acres Company purchased various fixed assets. Of these acquisitions, $4,000 was financed by issuance of the long-term note payable, and the remainder was bought with cash.
4. Dividends paid for 2010 amounted to $18,000.
5. During 2010 Acres Company issued common stock with a par value of $5,000. This was the only transaction which involved capital stock during 2010.
6. During 2010 Acres Company purchased a patent for cash.
Questions:
What are significant financing and investing activites not affecting cash?
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