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Travis McAlister incorporated Vision Consulting Inc. on January 1, 2014. They are authorized to issue an unlimited number of common shares and 40,000, $5.00 non-cumulative
Travis McAlister incorporated Vision Consulting Inc. on January 1, 2014. They are authorized to issue an unlimited number of common shares and 40,000, $5.00 non-cumulative preferred shares. During January, the following equity transactions occurred: a. Issued 10,000 common shares at $5.50 per share for cash. b. Issued 12,000 preferred shares at $14.20 per share for cash. c. Vision Consulting Inc. reported net income for the month of $203.000, and declared total cash dividends of $90,000 to shareholders of January 31, 2014 payable February 15, 2014. a) Using the information provided above and the following January 31, 2014 selected adjusted account balances prepare the statement of changes in equity for the month ended January 31, 2014 along with the January 31, 2014 classified balance sheet. The list of accounts is incomplete; you will have to add several accounts based on the information provided above. Account Balance (select one) Accounts Receivable. 126.000 Statement of Changes in Equity Accumulated Depreciation, Automobile 1,500 (select one) Accumulated Depreciation, Equipment 1,500 CommoPreferreRetainec Total Automobiles.... 54,000 Shares Shares Earnings Equity Cash... 67,000 Equipment... 30.000 Interest Payable 6,000 Interest Receivable. 16,000 Land... 164,000 Long-Term Notes Payable 11,000 (select one) Long-term Investment in Shares... 17,400 Balance Sheet (select one) Mortgage Payabdue May, 2019). 43,000 Notes Receivab due December, 2014) 67,000 Property Taxes Payable... 39,000 Short-Term Notes Payable...... 11,000 b) Use your above answer to answer each of the following questions: What percentage of the total assets are equity financed? What percentage of Vision Consulting Inc. is financed by debt? The common shareholders own what percentage of the total as What percentage of the assets are financed by the preferred sh Olders
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