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Allushta [10]
2 years ago
11

Assume that you are the president of Highlight Construction Company. At the end of the first year (December 31, 2014) of operati

ons, the following financial data for the company are available:
Cash
Receivables from customers (all considered collectible) 25.600
Inventory of merchandise (based on physical count and priced at cost) 10.800
Equipment owned, at cost less used portion 81.000
Accounts payable owed to suppliers 42.000
Salary payable for 2014 (on December 31, 2014, this was owed to an employee who was away because of an emergency; will return around January 10, 2015, at which time the payment will be made) 2.520
Total sales revenue 128.400
Expenses, including the cost of the merchandise sold (excluding income taxes)80.200
Income tax expense at 30% × pretax income; all paid during 2014 ?
Common stock (December 31, 2014) 87.000
Dividends declared and paid during 2014 10.000
Using the financial statement exhibits in the chapter as models and showing computations:
a. Prepare a summarized income statement for the year 2014
b. Prepare a statement of stockholder's equity for the year 2014
c. Prepare a balance sheet on December 31, 2014
Business
1 answer:
Maksim231197 [3]2 years ago
4 0

Answer:

Highland construction company

Income statement

For the year ended December 31, 2014

Sales revenue=128,400

Total expense=80,200

Pretax income=48,200

Tax                  =14,460

Net income     =33,740

Highland construction company

Statement of stockholder's equity

For the year ended December 31,2014

Balance December 31,2013=0

Stock issuance                    =87,000

Add:Net income

Less:Dividends

Balance December 31,2014=87,000

Highland construction company

Balance sheet

December 31,2014

Account payable=46,140

Salaries payable=2,520

Total liabilities

Common stock=87,000

Retained earnings=23,740

As complete information is not given so only relevant portion is done.

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MJ LTD is expected to grow at various rates over the next five years. The company just paid a $1.00 dividend. The company expect
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Answer:

$21.859

Explanation:

According to the scenario, computation of the given data are as follow:-

Present Value = D0 × (1 + growth rate)^time ÷ (1 + Required Rate of Return)^time period

1st Year PV = $1 × (1 + 0.20)^1 ÷ (1+ 0.12)^1

                  = 1.20 ÷ 1.12

                 = 1.071

2nd Year PV = $1 × (1 + 0.20)^2 ÷ (1+ 0.12)^2

                   = $1 × (1.44) ÷ 1.254

                  = $1.148

3rd Year PV = $1 × ( 1 + 0.20)^2 × (1 + 0.10) ÷ (1 + 0.12)^3

                    = $1 × (1.44) × (1.10) ÷ 1.405

                     = $1.127

4th Year PV = $1 × ( 1 + 0.20)^2 × (1 + 0.10)^2 ÷ ( 1 +0.12)^4

                    = $1 × (1.44) × (1.21) ÷ 1.574

                     = $1.107

5th Year PV = $1 × (1 + 0.20)^2 × ( 1 +0.10)^3 ÷ (1 + 0.12)^5

                     = $1 × (1.44) × (1.331) ÷ 1.762

                     = $1.088

6th Year PV = $1 × (1 + 0.20)^2 × (1 + .10)^3 × (1.05) ÷ [(0.12 - 0.05) × (1+.12)^5]

= $1 × (1.44) × (1.331) × (1.05) ÷ (0.07) ×  (1.762)

= $2.012 ÷ 0.1233

= $16.318

Now

Share’s Current Value is

= $1.071 + $1.148 + $1.127 + $1.107 + $1.088 + $16.318

= $21.859

We simply applied the above formula

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Data obtaing by manipulating factors under tightly controlled conditions to test cause and effect is an example of:__________
Otrada [13]

Answer:

experiment.

Explanation:

Experiment is a scientific investigation to test a hypothesis. It determines the relationship of the independent variable to the other variables in a controlled setup. It is essential to keep it control so that cause-effect relationship explained the outcome when other factors are manipulated. Experiment must prove its validity and reliability by obtaining the same results in a repeatable procedure.

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Joe and Debra are deeply interested in the well-being of the cocoa farmers they buy from. Imagine that they were thinking about
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The correct answers are letters "B" and "D".

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7 0
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Rodriguez Company completed its income statement and comparative balance sheet for the current year and provided the following i
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Answer and Explanation:

The preparation of the operating activities section is shown below:

                                         Rodriguez Company

                             Statement of Cash Flows (partial)

Cash flows from operating activities:  

Net loss $ (6,400)  

Adjustments  

Add: Depreciation expenses $4,500

Add: Amortization of copyright $200

Add: Decrease in accounts receivable $5,000  

Add: Increase in salaries payable $11,000  

Less: Decrease in other current liabilities -$1,800

Net cash flow from operating activities $12,500

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2 years ago
Edgar is a chef and the kitchen manager in an upscale restaurant. He is very knowledgeable in both the culinary and restaurant m
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Answer:

Edgar is a chef and the kitchen manager in an upscale restaurant. He is very knowledgeable in both the culinary and restaurant management fields. Because he possesses these technical skills, Edgar can be considered an Management by objectives (MBO)

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2 years ago
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