Case 24-2 (CA24-2) (Disclosures Required in Various Situations) Rem Inc. produces electronic components for sale to manufacturers of radios, television sets, and digital sound systems. In connection with her examination of Remâs financial statements for the year ended December 31,…
The comparative statements of Villa Tool Company are presented below.VILLA TOOL COMPANYIncome StatementFor the Year Ended December 3120122011Net sales$1,818,500$1,750,500Cost of goods sold1,011,500996,000Gross profit807,000754,500Selling and administrative expense516,000479,000Income from operations291,000275,500Other expenses and lossesInterest expense18,00014,000Income before income taxes273,000261,500Income tax expense81,00077,000Net income$ 192,000$ 184,500VILLA…
(Irregular Items)Maher Inc. reported income from continuing operations before taxes during 2010 of $790,000. Additional transactions occurring in 2010 but not considered in the $790,000 are as follows.The corporation experienced an uninsured flood loss (extraordinary) in the amount of $90,000…
Question 1.1.During 2015, NICO Corporation had EBIT of $100,000, a change in net fixed assets of $400,000, an increase in net current assets of $100,000, an increase in spontaneous current liabilities of $400,000, a depreciation expense of $50,000, and a…
Ystad Industries Roland Andersson is the manager of the Ekland Division of Ystad Industries. He is one of several managers being considered for position of CEO, as the current CEO is retiring in a year. All divisions use standard absorption…
From the following information (given in scrambled order) obtained from the accounting records of Alleg, Inc., as of December 31, 2008, prepare a classified balance sheet in report form and a statement of stockholdersâ equity. For assets, use the classifications…
Achilles Distribution markets CDs of the performing artist Vandyver. At the beginning of October, Achilles had in beginning inventory 2,000 of Vandyverâs CDs with a unit cost of $7. During October Achilles made the following purchases of Vandyverâs CDs.Oct. 3…
Based on the corporate valuation model, the value of a company’s operations is $900 million. Its balance sheet shows $70 million in accounts receivable, $50 million in inventory, $30 million in short-term investments that are unrelated to operations, $20 million…
Bonita Labs performs steroid testing services to high schools, colleges, and universities. Because the company deals solely with educational institutions, the price of each test is strictly regulated. Therefore, the costs incurred must be carefully monitored and controlled. Shown below…
Income statementStatement of retained earningsBalance sheetStatement of Cash FlowDocument Preview:Name____________________________ Prepare journal entries to record each of the following transactions. You do not need to write explanations below the journal entries. Create general ledger accounts for each account and post…
