ACC 557 Week 10 Homework Problems – Strayer Click On The Link Below to Purchase A+ Graded Material Instant Download http://budapp.net/ACC-557-Week-10-Homework-Problems-Strayer-NEWACC557W10HP.htm Chapter 14 Exercise 14-3 Your answer is correct. The comparative condensed balance sheets of Garcia Corporation are presented below. GARCIA CORPORATION Comparative Condensed Balance Sheets December 31 2014 Assets Current assets Property, plant, and equipment (net) Intangibles Total assets Liabilities and stockholders’ equity Current liabilities Long-term liabilities Stockholders’ equity Total liabilities and stockholders’ equity
2013
$ 76,000 100,000 24,000
$ 80,000 90,000 40,000
$200,000
$210,000
$ 40,000 140,000 20,000
$ 48,000 150,000 12,000
$200,000
$210,000
(a) Prepare a horizontal analysis of the balance sheet data for Garcia Corporation using 2013 as a base. (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000). (20%). Round percentages to 1 decimal place, e.g. 12.3%.) (b) Prepare a vertical analysis of the balance sheet data for Garcia Corporation in columnar form for 2014. (Round percentages to 0 decimal places, e.g. 12%.) Exercise 14-4 Your answer is correct.
The comparative condensed income statements of Hendi Corporation are shown below.
Net sales Cost of goods sold
HENDI CORPORATION Comparative Condensed Income Statements For the Years Ended December 31 2014 $600,000 468,000
2013 $500,000 400,000
Gross profit Operating expenses
132,000 60,000
100,000 54,000
Net income
$ 72,000
$ 46,000
(a) Prepare a horizontal analysis of the income statement data for Hendi Corporation using 2013 as a base. (Show the amounts of increase or decrease.) (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000). (20%). Round percentages to 1 decimal place, e.g. 12.3%.) (b) Prepare a vertical analysis of the income statement data for Hendi Corporation in columnar form for both years. (Round percentages to 1 decimal place, e.g. 12.3%.)
Exercise 14-13
Maulder Corporation has income from continuing operations of $290,000 for the year ended December 31, 2014. It also has the following items (before considering income taxes). 1. 2. 3.
An extraordinary loss of $70,000. A gain of $35,000 on the discontinuance of a division. A correction of an error in last year’s financial statements that resulted in a $25,000 understatement of 2013 net income.
Assume all items are subject to income taxes at a 30% tax rate. Prepare an income statement, beginning with income from continuing operations. Problem 14-6A
The comparative statements of Beulah Company are presented below.
Net sales (all on account)
BEULAH COMPANY Income Statement For the Years Ended December 31 2014 $500,000
Expenses Cost of goods sold Selling and administrative Interest expense Income tax expense Total expenses Net income
2013 $420,000
315,000 120,800 7,500 20,000
254,000 114,800 6,500 15,000
463,300
390,300
$ 36,700
$ 29,700
BEULAH COMPANY Balance Sheets December 31 Assets Current assets Cash Short-term investments Accounts receivable (net) Inventory
2014
2013
$ 21,000 18,000 85,000 80,000
$ 18,000 15,000 75,000 60,000
204,000
168,000
423,000
383,000
Total assets
$627,000
$551,000
Liabilities and Stockholders’ Equity Current liabilities Accounts payable Income taxes payable
$122,000 12,000
$110,000 11,000
134,000
121,000
120,000
80,000
254,000
201,000
150,000 223,000
150,000 200,000
373,000
350,000
$627,000
$551,000
Total current assets Plant assets (net)
Total current liabilities Long-term liabilities Bonds payable Total liabilities Stockholders’ equity Common stock ($5 par) Retained earnings Total stockholders’ equity Total liabilities and stockholders’ equity
Additional data: The common stock recently sold at $19.50 per share. Compute the following ratios for 2014. (Round Earnings per share and Acid-test ratio to 2 decimal places, e.g. 1.65, and all others to 1 decimal place, e.g. 6.8 or 6.8% .)