Alford Company and its 80 percent-owned subsidiary, Knight, have the following income statements for 2021: Alford $ (500,000) 300,000 40,000 20,000 (30,000) (36,200) $ (206,200) Revenues Cost of goods sold Depreciation and amortization Other expenses Gain on sale of equipment Equity in earnings of Knight Net income Knight $ (230,000) 140,000 10,000 20,000 0 0 $ (60,000)
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- Riverbed Inc. reported the following information for 2023: Sales Revenue $780000 Cost of Goods Sold 525000 Operating Expenses 82100 Gain on Disposal of Equipment 105400 Dividend Revenue 4100 For 2023, on a multiple - step income statement, Riverbed would report other income of $255000. $105400. $4100. $109500.Lancer Company's preliminary income statement for 2021 and its reported income statement for 2020 are given below. 2021 2020 1,350,000 (648,0001 702,000 (172,500) (162.000 367.500 Sales Revenues 1,320,000 (630.000 690,000 Cost of Goods Sold Gross Profit Depreciation Other Expenses (172,500) (153.000 364.500 Net Income Lancer's records reveal the following information: (1) Lancer neglected to record S8,000 of supplies expense at the end of 2020, so the supplies inventory was overstated at the end of 2020. Consequently, the supplies expense computed for 2021 included the additional amount of supplies used in 2020. (2) On 1/1/19, Lancer purchased a machine for $120,000. Although the machine was expected to have an eight-year life, it was erroneously expensed in recording the purchase. The appropriate depreciation method for this machine is double-declining-balance with no residual. (3) At the end of 2021, Lancer decided to change its inventory costing method from the FIFO costing method…Yellow Company reported the following information in 2021:· Sales revenue- P500,000· Cost of Goods Sold- P350,000· Operating Expenses- P55,000· Unrealized translation gain- P20,000· Cash dividends received on investment in equity securities- P2,000Ignore income tax, for 2021, Yellow Company would report total comprehensive income before tax of?
- Lala Company reported the following information in 2021:· Sales revenue- P500,000· Cost of Goods Sold- P350,000· Operating Expenses- P55,000· Unrealized translation gain- P20,000· Cash dividends received on investment in equity securities- P2,000Ignore income tax, for 2021, Lala Company would report total comprehensive income before tax of? A. P97,000 B. P117,000 C. P115,000 D. P20,000LAG Network Inc.'s balance sheet and income statement are as follows: LAG Network Inc. Income Statement For Year Ended December 31, 2023 Sales Cost of goods sold Gross profit Operating expenses: Depreciation expense Other expenses Total operating expenses Profit from operations Income taxes Profit Assets $ 25,200 215,800 LAG Network Inc. Comparative Balance Sheet Information $ 920,600 548,200 $372,400 241,000 $ 131,400 14,600 $ 116,800 December 31 2023 2022 Cash Accounts receivable $ 81,110 $ 52,800 Merchandise inventory Equipment Accumulated depreciation Total assets Liabilities and Equity 40,400 287,790 36,800 235,800 $ 491,900 Accounts payable Income taxes payable Common shares Retained earnings $ 23,200 3,600 355,000 110,100 146,400 (63,800) 136,800 (38,600) $ 423,600 $ 35,800 2,200 349,500 36,100 Total liabilities and equity $ 491,900 $ 423,600 Additional information regarding LAG Network Inc.'s activities during 2023: a. Equipment is purchased for $9,600 cash. b. 2,200 common…Presented below is information related to Anderson Company for 2022. Sales revenueCost of goods soldInterest expenseSelling and administrative expensesLoss from write-off of goodwillGain on the sale of investmentsLoss due to flood damageLoss on the disposition of the wholesale division Loss on operations of the wholesale division Dividends declared on ordinary shares Dividends declared on preference shares 25,000,000 16,000,000 70,000 4,700,000 820,000 110,000 390,000 800,000 150,000 250,000 60,000 Anderson decided to discontinue its entire wholesale operations and to retain its manufacturing operations. On September 15, Anderson sold the wholesale operations to Rogers Company. During 2022, there were 500,000 ordinary shares outstanding all year. Prepare an income statement for the year ended 31 December 2022. Applicable tax rate is 30%.
- Kamulinda Company Limited (KCL) has provided the following financial information that relates to the year ended 31 December 2020: Statement of profit or loss Sales revenue Cost of sales Gross profit Administrative costs Distribution costs Operating profit Interest received Interest paid Profit before tax Taxation Profit after tax Shs '000' Assets: Non-current assets Accumulated depreciation Netbook value Investments Current assets: Inventory 250,400 (87,900) 162,500 (35,000) (50,000) 77,500 45,000 Shs '000' (25,000) 97,500 (20,000) 77,500 Statement of position as at 31 December: 2020 2019 Shs '000' Shs '000' 459,000 246,000 (125,000) (89,000) 334,000 157,000 76,000 156,000 100,000 Find current assets continued- Accounts receivable Cash at hand Cash at bank Total assets Equity and liabilities: Share capital Share premium Retained earnings Revaluation Non-current liabilities: Long term loan Current liabilities: Accounts payable Interest payable Tax Bank overdraft 24,450 65,000 655,450…Lala Company reported the following information in 2021:· Sales revenue- P500,000· Cost of Goods Sold- P350,000· Operating Expenses- P55,000· Unrealized translation gain- P20,000· Cash dividends received on investment in equity securities- P2,000Ignore income tax, for 2021, Lala Company would report total comprehensive income before tax of?The following comparative information is available for Larkspur, Inc. for 2022. LIFO FIFO Sales revenue $91,000 $91,000 Cost of goods sold 40,000 31,600 Operating expenses (including depreciation) 27,000 27,000 Depreciation 10,000 10,000 Cash paid for inventory purchases 18,920 18,920 Determine net income under each approach. Assume a 30% tax rate. Net income $ LIFO FIFO Determine net cash provided by operating activities under each approach. Assume that all sales were on a cash basis and that income taxes and operating expenses, other than depreciation, were on a cash basis. Net cash provided by operating activities LIFO FIFO $ Calculate the quality of earnings ratio under each approach. (Round answers to 2 decimal places, e.g. 5.15.) LIFO Quality of earnings ratio FIFO
- The Gloria Corporation's comparative statements of comprehensive income lor de years 2021 and 2020 are presented below: 2020 720,000 450,000 270,000 30,000 300,000 190,000 110,000 20,000 90,000 2021 1,000,000 P 600,000 400,000 P 80,000 Sales Cost of Sales Gross Profit Other Operating Income Total Income P 480,000 280,000 200,000 P 80,000 120,000 P P P Less: Selling and Administrative Expenses Profit from Operations before Interest and Income Tax Interest Expense Profit The following errors were discovered : The following had been overlooked by the company at the end of 2021 and 2020: Unearned commission income Prepaid rent Accrued interest receivable Accrued wages expense 2021 6,400 21,000 12,000 22,000 2020 8,000 16,000 8,000 25,000 Advances of P90,000 received from customers in 2021 were credited to Sales, although deliveries were made only in 2022. Purchase of merchandise, P15,000, shipped FOB destination in December 2020 and received by the company in 2021 were recorded as…Partial Income Statement of ABC Corp. In 2021 Sales revenue $350,200 Cost of goods sold $142,000 Fixed costs $43,000 Selling, general, and administrative expenses $27,800 Depreciation $45,800 Interest expense $0 Tax rate 40% The Net Income for ABC Corp. in 2021 is $___________ (round to the nearest dollar amount)The following comparative information is available for Blossom Company for 2025. Sales revenue Cost of goods sold Operating expenses (including depreciation) Depreciation Cash paid for inventory purchases Net income $ LIFO eTextbook and Media Net cash provided by operating activities $ LIFO $81,000 38,000 30,000 Quality of earnings ratio 9,100 LIFO 38,000 Determine net income under each approach. Assume a 30 % tax rate. FIFO $ $81,000 31,000 30,000 9,100 Determine net cash provided by operating activities under each approach. Assume that all sales were on a cash basis and that income taxes and operating expenses, other than depreciation, were on a cash basis. 38,000 FIFO LIFO Calculate the quality of earnings ratio under each approach. (Round answers to 2 decimal places, eg. 5.15.) FIFO FIFO