Intermediate Accounting
9th Edition
ISBN: 9781259722660
Author: J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher: McGraw-Hill Education
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Chapter 3, Problem 3.7BE
• LO3–2, LO3–3
The following information is taken from the balance sheet of Raineer Plumbing: cash and cash equivalents, $40,000; accounts receivable, $120,000; inventories, ?; total current assets, $235,000; property, plant, and equipment (net), ?; total assets, $400,000; accounts payable, $32,000; note payable (due in two years), $50,000; common stock; $100,000; and retained earnings, ?. Determine the missing amounts.
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Required information
Use the following information for the Quick Studies below. (Algo)
[The following information applies to the questions displayed below.]
Cash
Accounts receivable
Equipment, net
Land
Total assets
QS 17-6 (Algo) Vertical analysis LO P2
Current Year
$ 12,700
64,000
64,000
100,500
$ 241,200
Cash
Accounts receivable
Equipment, net
Express the items in common-size percents. (Round your percentage answers to one decimal place.)
Land
Total assets
Current Year
Prior Year
$ 16, 200
29,900
56,000
76,000
$ 178,100
%
%
%
%
0.0 %
Prior Year
%
%
%
%
0.0 %
OUR COMPANY
Statement of Financial Position
As of December 31
2ΟΥ2
20Υ1
Cash and Cash Equivalents
P 470,310
P 519,860
Accounts Receivable, net
660,110
565,170
Inventory
653,060
555,480
228,810
Prepaid Expenses
173,740
Total Current Assets
1,957,220
1,869,320
Property, Plant and Equipment, net
Intangible Assets
5,910,530
745,200
5,501,660
721,910
Total Assets
P8,612,950 P8,092,890
Current Liabilities
P1,273,050 P1,123,700
Long-Term Liabilities
577,580
541,540
Total Liabilities
1,850,630
1,665,240
OUR, Capital
6,762,320
6,427,650
Total Liabilities and Owner's Equity P8,612,950 P8,092,890
OUR COMPANY
Statement of Comprehensive Income
For the Year Ended
20Υ2
20Υ1
Sales Revenue
P5,385,860 P4,921,850
1,374,790
Cost of Goods Sold
1,254,860
Gross Profit
4,011,070
3,666,990
3,127,150
3,406,460
604,610
Selling and Administrative Expenses
Operating Income
Interest Expense
539,840
23,040
11,820
Net Income
P 592,790
P 516,800
Required:
1. Compute for the 20Y2 profitability ratios.
2. Compute for…
Required information
[The following information applies to the questions displayed below.]
Current Year
ed
Cash
$ 11,500
Prior Year
$ 14,200
Accounts receivable
61,500
27,000
Equipment, net
Land
Total assets
59,000
99,000
52,000
73,500
$ 231,000
$ 166,700
Express the items in common-size percents.
Note: Round your percentage answers to one decimal place.
Current Year
Prior Year
Cash
%
%
ces
Accounts receivable
%
%
Equipment, net
%
%
Land
Total assets
%
%
0.0 %
0.0 %
Chapter 3 Solutions
Intermediate Accounting
Ch. 3 - Prob. 3.1QCh. 3 - Prob. 3.2QCh. 3 - Define current assets and list the typical asset...Ch. 3 - Prob. 3.4QCh. 3 - Prob. 3.5QCh. 3 - Prob. 3.6QCh. 3 - Describe the common characteristics of assets...Ch. 3 - Prob. 3.8QCh. 3 - Prob. 3.9QCh. 3 - Define the terms paid-in-capital and retained...
Ch. 3 - Disclosure notes are an integral part of the...Ch. 3 - A summary of the companys significant accounting...Ch. 3 - Define a subsequent event.Ch. 3 - Prob. 3.14QCh. 3 - Prob. 3.15QCh. 3 - Prob. 3.16QCh. 3 - Prob. 3.17QCh. 3 - Show the calculation of the following solvency...Ch. 3 - Prob. 3.19QCh. 3 - Prob. 3.20QCh. 3 - (Based on Appendix 3) Segment reporting...Ch. 3 - Prob. 3.22QCh. 3 - Prob. 3.23QCh. 3 - Current versus long-term classification LO32,...Ch. 3 - Balance sheet classification LO32, LO33 The trial...Ch. 3 - Prob. 3.3BECh. 3 - Balance sheet classification LO32, LO33 Refer to...Ch. 3 - Balance sheet classification LO32, LO33 The...Ch. 3 - Balance sheet classification LO32, LO33 You have...Ch. 3 - Balance sheet preparation; missing elements LO32,...Ch. 3 - Financial statement disclosures LO34 For each of...Ch. 3 - Calculating ratios LO38 Refer to the trial...Ch. 3 - Prob. 3.10BECh. 3 - Calculating ratios; solving for unknowns LO38 The...Ch. 3 - Balance sheet; missing elements LO32, LO33, LO38...Ch. 3 - Balance sheet classification LO32, LO33 The...Ch. 3 - Balance sheet classification LO32, LO33 The...Ch. 3 - Balance sheet preparation LO32, LO33 The...Ch. 3 - Balance sheet preparation LO32, LO33 The...Ch. 3 - Balance sheet; Current versus long-term...Ch. 3 - Prob. 3.7ECh. 3 - Prob. 3.8ECh. 3 - Balance sheet preparation LO32, LO33 The...Ch. 3 - Financial statement disclosures LO34 The...Ch. 3 - Prob. 3.11ECh. 3 - Prob. 3.12ECh. 3 - Prob. 3.13ECh. 3 - FASB codification research LO32, LO34 Access the...Ch. 3 - Prob. 3.15ECh. 3 - Prob. 3.16ECh. 3 - Prob. 3.17ECh. 3 - Calculating ratios; solve for unknowns LO38 The...Ch. 3 - Prob. 3.19ECh. 3 - Effect of management decisions on ratios LO38...Ch. 3 - Prob. 3.21ECh. 3 - Prob. 3.22ECh. 3 - Balance sheet preparation LO32, LO33 Presented...Ch. 3 - Balance sheet preparation; missing elements LO32,...Ch. 3 - Balance sheet preparation LO32, LO33 The...Ch. 3 - Balance sheet preparation LO32, LO33 The...Ch. 3 - Balance sheet preparation LO32, LO33 The...Ch. 3 - Prob. 3.6PCh. 3 - Balance sheet preparation; errors LO32, LO33 The...Ch. 3 - Balance sheet; errors; missing amounts LO32, LO33...Ch. 3 - Balance sheet preparation LO32 , LO33 Presented...Ch. 3 - Prob. 3.10PCh. 3 - Communication Case 31 Current versus long-term...Ch. 3 - Analysis Case 32 Current versus long- term...Ch. 3 - Prob. 3.4BYPCh. 3 - Judgment Case 35 Balance sheet; errors LO32...Ch. 3 - Prob. 3.6BYPCh. 3 - Real World Case 37 Balance sheet and significant...Ch. 3 - Judgment Case 38 Post fiscal year-end e vents ...Ch. 3 - Prob. 3.9BYPCh. 3 - Prob. 3.10BYPCh. 3 - Prob. 3.11BYPCh. 3 - Analysis Case 314 Balance sheet information LO32...Ch. 3 - Prob. 3.15BYPCh. 3 - Ethics Case 316 Segment reporting Appendix 3 You...Ch. 3 - Prob. 1CCTC
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