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Paula Sanchez is trying to determine her 2022 finances. Paula's actual 2021 finances were as follows: Income: Gross income Assets: $ 67,500 Interest income 450 Checking account Savings account $ 1,990 8,650 Total $ 67,950 Automobile 1,950 Personal property 14,900 Expenses: Living $ 24,500 Total Liabilities: Insurance premium 310 Taxes 15,200 600 Note to bank Net worth $ 27,490 4,700 $ 22,790 ($27,490 - $4,700) Medical Investment Total 4,400 $ 45,010 Net worth(own) = Assets - Liabilities(owe) Paula belleves her gross income will double in 2022 but her interest Income will decrease $142. She plans to reduce her 2022 living expenses by one-fifth. Paula's Insurance company wrote a letter announcing that her Insurance premiums would triple in 2022. Her accountant estimates her taxes will decrease $240 and her medical costs will increase $400. Paula also hopes to cut her Investments expenses by one-fourth. Paula's accountant projects that her savings and checking accounts will each triple in value. On January 2, 2022, Paula sold her automobile and began to use public transportation. Paula forecasts that her personal property will decrease by one-fifth. She has sent her bank a $370 check to reduce her bank note. a. Complete the below statement to give Paula an updated list of her 2022 finances? Answer is complete and correct. Income: Assets: Gross income $ 135,000 Checking $ 5,970 account Interest income 308✔ Savings account 25,950 Personal Total $ 135,308 11,920 property Expenses: Living $ 19,600 Total Liabilities: $ 43,840 Insurance 930 Note to bank 4,330 premium Taxes 14,960 Net worth $ 39,510 Medical 1,000 Investment Total 3,300 S 39,790 b. If you round all the way each 2021 and 2022 asset and liability, what will be the difference in Paula's net worth? Answer is complete but not entirely correct. Total estimated difference in Paula's net $ 16,720 worth

Paula Sanchez is trying to determine her 2022 finances. Paula's actual 2021 finances were as follows: Income: Gross income Assets: $ 67,500 Interest income 450 Checking account Savings account $ 1,990 8,650 Total $ 67,950 Automobile 1,950 Personal property 14,900 Expenses: Living $ 24,500 Total Liabilities: Insurance premium 310 Taxes 15,200 600 Note to bank Net worth $ 27,490 4,700 $ 22,790 ($27,490 - $4,700) Medical Investment Total 4,400 $ 45,010 Net worth(own) = Assets - Liabilities(owe) Paula belleves her gross income will double in 2022 but her interest Income will decrease $142. She plans to reduce her 2022 living expenses by one-fifth. Paula's Insurance company wrote a letter announcing that her Insurance premiums would triple in 2022. Her accountant estimates her taxes will decrease $240 and her medical costs will increase $400. Paula also hopes to cut her Investments expenses by one-fourth. Paula's accountant projects that her savings and checking accounts will each triple in value. On January 2, 2022, Paula sold her automobile and began to use public transportation. Paula forecasts that her personal property will decrease by one-fifth. She has sent her bank a $370 check to reduce her bank note. a. Complete the below statement to give Paula an updated list of her 2022 finances? Answer is complete and correct. Income: Assets: Gross income $ 135,000 Checking $ 5,970 account Interest income 308✔ Savings account 25,950 Personal Total $ 135,308 11,920 property Expenses: Living $ 19,600 Total Liabilities: $ 43,840 Insurance 930 Note to bank 4,330 premium Taxes 14,960 Net worth $ 39,510 Medical 1,000 Investment Total 3,300 S 39,790 b. If you round all the way each 2021 and 2022 asset and liability, what will be the difference in Paula's net worth? Answer is complete but not entirely correct. Total estimated difference in Paula's net $ 16,720 worth

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
ChapterM: Time Value Of Money Module
Section: Chapter Questions
Problem 4MC: Refer to the present value table information on the previous page. What amount should Brett have in...
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Paula Sanchez is trying to determine her 2022 finances. Paula's actual 2021 finances were as follows: Income: Gross income Assets: $ 67,500 Interest income 450 Checking account Savings account $ 1,990 8,650 Total $ 67,950 Automobile 1,950 Personal property 14,900 Expenses: Living $ 24,500 Total Liabilities: Insurance premium 310 Taxes 15,200 600 Note to bank Net worth $ 27,490 4,700 $ 22,790 ($27,490 - $4,700) Medical Investment Total 4,400 $ 45,010 Net worth(own) = Assets - Liabilities(owe) Paula belleves her gross income will double in 2022 but her interest Income will decrease $142. She plans to reduce her 2022 living expenses by one-fifth. Paula's Insurance company wrote a letter announcing that her Insurance premiums would triple in 2022. Her accountant estimates her taxes will decrease $240 and her medical costs will increase $400. Paula also hopes to cut her Investments expenses by one-fourth. Paula's accountant projects that her savings and checking accounts will each triple in value. On January 2, 2022, Paula sold her automobile and began to use public transportation. Paula forecasts that her personal property will decrease by one-fifth. She has sent her bank a $370 check to reduce her bank note. a. Complete the below statement to give Paula an updated list of her 2022 finances? Answer is complete and correct. Income: Assets: Gross income $ 135,000 Checking $ 5,970 account Interest income 308✔ Savings account 25,950 Personal Total $ 135,308 11,920 property Expenses: Living $ 19,600 Total Liabilities: $ 43,840 Insurance 930 Note to bank 4,330 premium Taxes 14,960 Net worth $ 39,510 Medical 1,000 Investment Total 3,300 S 39,790 b. If you round all the way each 2021 and 2022 asset and liability, what will be the difference in Paula's net worth? Answer is complete but not entirely correct. Total estimated difference in Paula's net $ 16,720 worth
Transcribed Image Text:Paula Sanchez is trying to determine her 2022 finances. Paula's actual 2021 finances were as follows: Income: Gross income Assets: $ 67,500 Interest income 450 Checking account Savings account $ 1,990 8,650 Total $ 67,950 Automobile 1,950 Personal property 14,900 Expenses: Living $ 24,500 Total Liabilities: Insurance premium 310 Taxes 15,200 600 Note to bank Net worth $ 27,490 4,700 $ 22,790 ($27,490 - $4,700) Medical Investment Total 4,400 $ 45,010 Net worth(own) = Assets - Liabilities(owe) Paula belleves her gross income will double in 2022 but her interest Income will decrease $142. She plans to reduce her 2022 living expenses by one-fifth. Paula's Insurance company wrote a letter announcing that her Insurance premiums would triple in 2022. Her accountant estimates her taxes will decrease $240 and her medical costs will increase $400. Paula also hopes to cut her Investments expenses by one-fourth. Paula's accountant projects that her savings and checking accounts will each triple in value. On January 2, 2022, Paula sold her automobile and began to use public transportation. Paula forecasts that her personal property will decrease by one-fifth. She has sent her bank a $370 check to reduce her bank note. a. Complete the below statement to give Paula an updated list of her 2022 finances? Answer is complete and correct. Income: Assets: Gross income $ 135,000 Checking $ 5,970 account Interest income 308✔ Savings account 25,950 Personal Total $ 135,308 11,920 property Expenses: Living $ 19,600 Total Liabilities: $ 43,840 Insurance 930 Note to bank 4,330 premium Taxes 14,960 Net worth $ 39,510 Medical 1,000 Investment Total 3,300 S 39,790 b. If you round all the way each 2021 and 2022 asset and liability, what will be the difference in Paula's net worth? Answer is complete but not entirely correct. Total estimated difference in Paula's net $ 16,720 worth
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