Item 13 refers to the following account. Appropriation Account $ $ Taxation reserve 10,000.00 By balance 894.50 Preliminary 250.00 Net profit 26,106.50 Transfer to general reserve 4,000.00 Preference share dividend 1,200.00 Ordinary share dividend 6,000.00 13. What conclusion could be drawn from the above appropriation account? i. The company is engaged in a profitable enterprise. ii. The company is not doing too well iii. More dividends can be given to the ordinary shareholders. a. I only c. II only b. I and III only d. II and III only
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- ! Required information P6-4 (Algo) Preparing an Income Statement and Computing the Receivables Turnover Ratio with Discounts, Returns, and Bad Debts LO6-1, 6-2, 6-3 [The following information applies to the questions displayed below.] Tungsten Company, Incorporated, sells heavy construction equipment. There are 11,500 shares of capital stock outstanding. The annual fiscal period ends on December 31. The following condensed trial balance was taken from the general ledger on December 31, Current Year: Account Titles Cash Accounts receivable (net) Inventory, ending Operational assets. Accumulated depreciation Liabilities Capital stock Retained earnings, January 1, Current Year Sales revenue Sales returns and allowances Cost of goods sold Selling expense Administrative expense Bad debt expense Sales discounts Income tax expense Totals P6-4 Part 1 Debit $34,400 16,400 52,300 40,500 7,400 78,500 15,800 Credit $18,300 25,500 72,100 16,180 148,800 17,000 2,900 7,400 8,280 $280,880 $280, 880…The accumulated profit account of One San Miguel Co, follows: Date Item Debit Credit 07/01/2020 Balance 48,500.00 08/31/2020 Dividends paid 12/31/2020 Net income for the year 20,000.00 32,400.00 04/01/2021 Premium on capital share 06/30/2021 Gain on treasury share 15,000.00 10,000.00 09/30/2021 Dividends declared 30,000.00 12/31/2021 Net Income for the year 45,100.00 Appraisal increase of land 30,000.00 Balance 131,000.00 181,000.00 181,000.00 What is the correct balance of Accumulated Profits on December 31, 2021?D. H. Exercise 12 The following information is available for Umbrella Corporation for the year ended December 31, 2021: Collection of principal on long term loan to a supplier Acquisition of equipment for cash Proceeds from the redemption of long term investment at carrying value Issue of common shares for cash Depreciation expense Redemption of bonds payable at amortized cost Payment of cash dividends Profit 40,000 15,000 27,000 25,000 25,000 24,000 14,000 30,000 Purchase of land by issuing bonds payable 40,000 In addition, the following information is available from the comparative balance sheet for Umbrella at the end of 2020 and 2021: 2,021 102,000 20,000 17.000 139.000 2,020 Cash Accounts receivable (net) Prepaid insurance Total current assets 14,000 15,000 13.000 42.000 Accounts payable Salaries payable Total current fiabilities 25,000 4,000 29,000 19,000 7000 26.000 Instructions Prepare Umbrella's cash flow statement for the year ended December 31, 2021, using the indirect…
- The following information relates to the Bondoc Corporation: Sales Revenue 9,000,000 Net assets, end of year 500,000 Net assets, beginning of year 300,000 Additional Investment by shareholders 100,000 Profit of the year 200,000 other comprehensive income for the year 50,000 Compute the amount of dividends paid during the year A. 550,000 B. 200,000 C. 150,000 D. 50,000You have secured the following information for Companies A, B, and C concerning their internally generated net incomes (excluding subsidiary income) and dividends paid: A B C2015 Internally generated net income . . . . $30,000 $20,000 $10,000Dividends declared and paid . . . . . . . . . . . . .10,000 5,0002016 Internally generated net income . . . . 50,000 30,000 25,000Dividends declared and paid . . . . . . . . . . . . .10,000 5,000 5,0002017 Internally generated net income . . . . 40,000 40,000 30,000Dividends declared and paid . . . . . . . . . . . . .10,000 5,000 5,0001. Assume Company A acquires an 80% interest in Company B on January 1, 2015, and Company B acquires a 60% interest in Company C on January 1, 2016. Prepare the simple equity method adjusting entries made by Companies A and B for subsidiary…2. Following information is available for the year 2020 of ABC SAOG. You are required to prepare Statement of comprehensive income and Statement of financial position. Share premium 728,526 Legal reserve 1,134,166 Revaluation reserve 14,644,500 Trade and other payables 10,020,506 Taxation payable 238,108 Directors' remuneration 54,000 Taxation expenses 384,036 Property, plant and equipment 20,226,258 Revenue 43,627,562 Cost of sales 30,950,720 Finance costs 452,636 Administrative and general expenses 2,072,896 Other operating income 74,020 Inventories 6,705,426 Trade and other receivables 10,348,144 Assets held-for-sale 11,571,592 Cash and bank balances 1,291,814 Retained earnings (opening) 6,131,332 Long term loans 7,080,676 Share capital 3,402,500 Selling and distribution expenses 8,092,802 Current portion of long term loans 1,496,136 Short term borrowings 3,572,292
- Item No. 8 is based on the following information: sid 000,001 9 Whistleblow, Inc. issued 500 ordinary shares with a par value of P 24 per share to a lawyer for the latter's legal services. The shares were in payment for the 100 hours rendered by the lawyer who billed the company P 160 per hour. On the date of share issuance, the shares were trading in the stock exchange at P 32 per share. 1 000.00Question 4. (a) You are required to calculate and state the missing figures represented by alphabets ABC Ltd XYZ Ltd Ghs '000 Ghs '000 7,300 1,392 A B с D E F G H I Turnover Cost of sales Stocks Bank Trade creditors Accruals Gross profit Gross profit Margin% Distribution costs Admin expenses Debtors Net current assets Operating profit Interest Net Profit Net Profit Margin % Plant and machinery Ordinary shares of Ghs1 Retained profit 10% debenture Current assets Current liabilities Equity 8,030 4,818 J 1,800 40 100 1,606 600 1,006 K L 200 4,000 900 3,120 O 2,000 1,100 P M N 238 370 120 42% 1,320 480 800 1,266 200 3,960 900 2,000 2,430 3,500Simple Accounting – Balance Sheet. Assets Liabilities Shareholders' Equity $567,005.00 $389,055.00 O a. $567,005.00 O b. $389,055.00 O c. $177,950.00 O d. $744,955.00