ACCT 201 Principles of Accounting I Sales Session Twenty-Seven Lotus Tea Company Income Statement For Year...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
ACCT 201 Principles of Accounting I Sales Session Twenty-Seven Lotus Tea Company Income Statement For Year Ended June 30, 2023 Cost of Goods Sold Gross Profit Utilities Expense Wages Expense $542,000 312,000 230,000 5,000 25,000 Payroll Taxes Expense 11,800 Office Expense 2,400 Depreciation Expense 36,800 Amortization Expense 2,500 Loss on the Sale of Equipment Income Before Taxes Income Tax Expense Net Income Inventory Prepaid Expenses 3.500 143,000 43.490 $ 99.510 Lotus Tea Company Comparative Balance Sheet For Year Ended June 30, 2023 4,400 447,000 (115,050) (105,950) 2022 2023 Cash $ 44,000 $ 85,610 Accounts Receivable 51,000 86,500 65,000 63,800 5,400 Total Current Assets 186,900 218,810 Equipment 350,000 Accum Deprec Assets (184,500) Building 530,000 530,000 Accum Deprec - Bldg (92,700) Land 75,000 Patent 89,000 Accum Amort - Patent (22,000) 75,000 66,000 (17,500) Total Long Term Assets 744,800 879,500 Total Assets $931,700 $1,098,310 Accounts Payable $ 30,000 $ 25,000 Wages Payable 15,000 Income Tax Payable 3,800 4,400 Total Current Liabilities 48,800 35,400 Notes Payable (Long-Term) 185,000 220,000 Total Liabilities 233,800 255,400 Common Stock 660,000 810,000 Retained Earnings 37,900 Treasury Stock 0 Total Equity 697,900 Total Liabilities & Equity $931,700 6,000 112,910 (80,000) 842.910 $1,098,310 In Class Exercise Additional Info: Depreciation Expense for the Year is $23,550 for Equipment + $13,250 for Building. Purchased a new machine in exchange for cash and a $75,000 note. The Only thing affecting Retained Earnings were Net Income and Dividends. Purchased $80,000 in Treasury Stock. Equipment that originally cost 126,000 was sold at a $3,500 loss. A Patent with an original cost 23,000 was sold for book value. Paid off a Long-Term Note at the notes carrying value $40,000. Issued 150,000 shares of common stock at $1 per share. Prepaid expenses and Wages Payable related to operating expenses on the statement. income All purchases and sales of inventory are on credit. ACCT 201 Principles of Accounting I Sales Session Twenty-Seven Lotus Tea Company Income Statement For Year Ended June 30, 2023 Cost of Goods Sold Gross Profit Utilities Expense Wages Expense $542,000 312,000 230,000 5,000 25,000 Payroll Taxes Expense 11,800 Office Expense 2,400 Depreciation Expense 36,800 Amortization Expense 2,500 Loss on the Sale of Equipment Income Before Taxes Income Tax Expense Net Income Inventory Prepaid Expenses 3.500 143,000 43.490 $ 99.510 Lotus Tea Company Comparative Balance Sheet For Year Ended June 30, 2023 4,400 447,000 (115,050) (105,950) 2022 2023 Cash $ 44,000 $ 85,610 Accounts Receivable 51,000 86,500 65,000 63,800 5,400 Total Current Assets 186,900 218,810 Equipment 350,000 Accum Deprec Assets (184,500) Building 530,000 530,000 Accum Deprec - Bldg (92,700) Land 75,000 Patent 89,000 Accum Amort - Patent (22,000) 75,000 66,000 (17,500) Total Long Term Assets 744,800 879,500 Total Assets $931,700 $1,098,310 Accounts Payable $ 30,000 $ 25,000 Wages Payable 15,000 Income Tax Payable 3,800 4,400 Total Current Liabilities 48,800 35,400 Notes Payable (Long-Term) 185,000 220,000 Total Liabilities 233,800 255,400 Common Stock 660,000 810,000 Retained Earnings 37,900 Treasury Stock 0 Total Equity 697,900 Total Liabilities & Equity $931,700 6,000 112,910 (80,000) 842.910 $1,098,310 In Class Exercise Additional Info: Depreciation Expense for the Year is $23,550 for Equipment + $13,250 for Building. Purchased a new machine in exchange for cash and a $75,000 note. The Only thing affecting Retained Earnings were Net Income and Dividends. Purchased $80,000 in Treasury Stock. Equipment that originally cost 126,000 was sold at a $3,500 loss. A Patent with an original cost 23,000 was sold for book value. Paid off a Long-Term Note at the notes carrying value $40,000. Issued 150,000 shares of common stock at $1 per share. Prepaid expenses and Wages Payable related to operating expenses on the statement. income All purchases and sales of inventory are on credit.
Expert Answer:
Related Book For
Advanced Accounting
ISBN: 978-0538480284
11th edition
Authors: Paul M. Fischer, William J. Tayler, Rita H. Cheng
Posted Date:
Students also viewed these finance questions
-
This assignment requires you to complete the 2022 tax reporting for a fictional woman named Anna Smith. Question 1 T1 - step 4 - line 66 This is Anna's taxable income Answer: Question 2 T1 - step...
-
The following financial statements and additional information are reported. Additional Information a. A $ 30,000 note payable is retired at its $ 30,000 carrying (book) value in exchange for cash. b....
-
Canton Company makes two types of cell phones. Handy is a thin, pocket-size cell phone that is easy to carry around. Action is a palm-size phone convenient to hold while the user is talking. During...
-
Brick, Stone and Breeze carry on a manufacturing business in partnership, sharing profits and losses: Brick one-half, Stone one-third and Breeze one sixth. It is agreed that the minimum annual share...
-
A small bank is trying to determine how many tellers to employ. The total cost of employing a teller is $100 per day, and a teller can serve an average of 60 customers per day. On average, 50...
-
Entropy can be mathematically expressed as (a) \(d S=\frac{d H_{\text {rev }}}{T}\) (b) \(d S=\frac{d Q_{\text {irrev }}}{T}\) (c) \(d S=\frac{d U_{\mathrm{rev}}}{T}\) (d) None of these.
-
The following labor hours data have been collected for a nanotechnology project for periods 1 through 6. Compute the SV, CV, SPI, and CPI for each period. Plot the EV and the AC on the summary graph...
-
Kecubung Berhad is a company whose shares are listed on the Bursa Malaysia. The company is in the business of managing large scale construction projects. The audit committee has been reviewing the...
-
Simtek projects year-end EBIT of $800M which is expected to grow at 5% annually, and capital expenditures will equal depreciation. Simtek has $4,590M of 6% perpetual debt trading at face value and no...
-
Identify a minimum of 2 precise examples of individual preferences or requirements. ( The individual ) Explain how a trainer can accommodate these precise requirements in the delivery and design of a...
-
Identify the research scenario, including the general area of focus. Develop a hypothetical research scenario that would necessitate the use of the Action Research Approach and a Posttest With a...
-
In a 4-by-4 Sudoku puzzle with one 2 -by-2 subsquare filled in as shown in Figure P1.5, how many ways are there to complete the puzzle? (In Sudoku, the digits 1, 2, 3, 4 must appear only once in each...
-
Briefly discuss the strengths and limitations associated with this approach and the specific design . Develop a hypothetical research scenario that would necessitate the use of the Action Research...
-
Discuss the sampling strategy and technique to be used. Develop a hypothetical research scenario that would necessitate the use of the Action Research Approach and a Posttest With a Historical...
-
Determine if the mixed method aspect is concurrent, sequential,, or nested. Develop a hypothetical research scenario that would necessitate the use of the Mixed Method A-B-A Design. The research will...
-
Suppose George and Louise can spend their days baking bread or planting tulip bulbs. Their output per hour at each activity is the following: George Louise Louise's opportunity cost of baking one...
-
What is the difference between adsorption and absorption?
-
Prepare the entries to record the following general fund transactions for the village of Del Valley for the year ended September 30, 2018: a. Revenues are estimated at $520,000; expenditures are...
-
Prepare a statement of cash flows for the internal service fund of the city of Boni ville from the following information: Cash on hand at the beginning of the year .. . . . . .. . . . . . $ 122...
-
Why are budgets crucial in accounting for governmental entities? If appropriations were not included in fund accounting, what impact would this exclusion have on the financial statements?
-
Prove: 'Bernoulli's equation is a restrictive form of energy equation'.
-
What are the assumption made for the establishment of Bernoulli's equation?
-
A pipe, through which water is flowing, has diameters \(30 \mathrm{~cm}\) and \(15 \mathrm{~cm}\) at crosssections 1 and 2 respectively. The discharge velocity of the pipe is \(40 \mathrm{~L} /...
Study smarter with the SolutionInn App