• $4,072. • $6,100. • $4,100. Multiple Choice Question 198 Given the following account balances at year end, compute the total intangible assets on the balance sheet of Janssen Enterprises. Cash $1,500,000 Accounts Receivable 4,000,000 Trademarks 1,000,000 Goodwill 2,500,000 Research & Development Costs 2,000,000 • $7,500,000.
Which one of these is a non-cash item? • depreciation • interest expense • current taxes • dividends • selling expenses 6. Sankey, Inc., has current assets of $5,000, net fixed assets of $23,300, current liabilities of $4,450, and long-term debt of $11,000. (Do not round intermediate calculations.) What is the value of the shareholders' equity account for this firm?
Inventory $2,573 $3,220 ($ 647) Accounts Payable $1,556 $1,702 $ 146 Accruals $ 268 $ 408 $ 140 $ 798 AXTEL COMPANY Statement of Cash Flows For the period ended 12/31/X1 ($000) OPERATING ACTIVITIES: Net Income $3,116 Depreciation $1,166 Change in WC $ 798 Cash from Operating Activities $5,080 INVESTING ACTIVITIES: Increase in Fixed Assets ($1,882) Cash from Investing Activities ($1,882) FINANCING ACTIVITIES: Decrease in Debt ($1,110) Dividends Paid ($1,727) Stock Retired ($1,000) Cash from Financing Activities ($3,837) NET CASH FLOW ($ 639) Reconciliation Beginning Cash $3,514 Net Cash Flow ($ 639) Ending Cash
Answer AR= 20x20000=400,000 3-2 Debt Ratio Vigo Vacations has an equity multiplier of 2.5. The company’s assets are financed with some combination of long-term debt and common equity. What is the company’s debt ratio? Answer Equity multiplier Asset /equity = 2.5/1 A=L+E 2.5=1.5=+1 Debt/asset = 1.5/2.5 = .6 3-3 Market/Book Ratio Winston Washers’s stock price is $75 per share. Winston has $10 billion in total as- sets.
During 2007 and 2008 Stator reported Net Income of $25,000 and $15,000 and paid dividends $10,000 and $12,000, respectively. Rotor uses the equity method a. What amount of differential will be amortized annually b. What will be the balance in the investment account on Dec 31, 2007? c. What amount of investment income will be reported by Rotor for the year 2007?
Case 36C Speculation Corporation Prepared by xxxxxx For Table of Contents Issues………………………………………………………………………………………………………………………………………………………1 Facts………………………………………………………………………………………………………………………………………………………..1 Analysis……………………………………………………………………………………………………………………………………………………7 Conclusion/Recommendations……………………………………………………………………………………..…………………………8 References………………………………………………………………………………………………………………………………………………9 Issues 1. What are the tax consequences of each personal distribution from speculation corporation proposal? Facts Janice Carillo and Ruth Schlinger formed Speculation Corporation (Speculation) ten years ago. At present they each own 30% of the stock of Speculation (30 shares each), Wise Investments, Inc. (Wise) owns 35% of the stock (35 shares), and the balance (5% or five shares) is owned by Thomas Glynn. Noth Wise and Thomas acquired their interest four years ago by purchase from Janice and Ruth.
The equipment was acquired on January 1. It had a $1,000 estimated salvage value and a three-year useful life. 7. Sold inventory to customers for $25,000 that had cost $14,000 to make. Required Explain how these events would affect the balance sheet, income statement, and statement of cash flows by recording them in a horizontal financial statements model as indicated here.
Answer AR= 20x20000=400,000 3-2 Debt Ratio Vigo Vacations has an equity multiplier of 2.5. The company’s assets are financed with some combination of long-term debt and common equity. What is the company’s debt ratio? Answer Equity multiplier Asset /equity = 2.5/1 A=L+E 2.5=1.5=+1 Debt/asset = 1.5/2.5 = .6 3-3 Market/Book Ratio Winston Washers’s stock price is $75 per share. Winston has $10 billion in total as- sets.
Statement of Cash Flows ACC/537 August 12, 2013 Joseph Mc Donald Statement of Cash Flows Carpino Company Statement of Cash Flows - Indirect Method For the Year Ended January 31, 2007 Cash flows from operating activities Net loss $(30,000) Adjustments to reconcile net loss to net cash provided by operating activities: Depreciation expense $55,000 Gain on sale of investment (5,000) 50,000 Net cash provided by operating activities 20,000 Cash flows from investing activities Purchase investment (75,000) Purchase fixtures and equipment (330,000) Sale of investment 80,000 Net cash used by investing activities (325,000) Cash flows from financing activities Sale of capital stock 420,000 Purchase of treasury stock (10,000) Net cash provided by financing activities 410,000 Net increase in cash 105,000 Cash at beginning of period 140,000 Cash at end of period 245,000 Noncash investing and financing activities Issuance of note to purchase truck 20,000 Memo to Shareholders January 31, 2007 To our shareholders, Carpino Company had a performing year. The company is still in the growth phase and first year of business, so there was not a lot of cash from operations. The company had a net loss for the year. Carpino Company had revenue in the amount of $391,000. The revenue was made up of $380,000 for sales of merchandise, $6,000 for interest on investments, and $5,000 for a gain on the sale of investments.
During the year of 2012, cash used for investing activities of Wendy’s totaled $189 million, increased $131 million from 2011. The two largest investing activities appeared in Wendy’s statement of cash flow are capital expenditures and acquisitions. Cash capital expenditures of Wendy’s in 2012 totaling $197.6 million, including $71.9 million for reimaged and new Image Activation restaurants, $13.5 million for new restaurants, $28.0 million for point-of-sale equipment, $23.2 million for the construction of a new building at its corporate headquarters and $61.0 million for various capital projects. In 2012, Wendy’s acquired 56 franchised restaurants. The purchase price was $38.1 million in cash.