The following is an alphabetical list of account balances at December 31, 2016 for the Ottawa Corporation.
Question:
The following is an alphabetical list of account balances at December 31, 2016 for the Ottawa Corporation. You are also told that the company issued $250,000 of Capital Stock during the year and declared a total of $50,000 of dividends.
Accounts payable 136,000
Accounts Receivable 89,000
Accumulated depreciation - building 389,000
Accumulated depreciation - equipment 151,000
Building 1,116,000
Capital Stock 612,000
Cash 48,000
Cost of goods sold 756,000
Depreciation expense 58,000
Dividends payable 7,000
Franchise 29,000
Income tax expense 165,000
Insurance expense 4,000
Interest expense 54,000
Interest income 7,000
Interest payable 12,000
Interest receivable 9,000
Inventories 155,000
Land 202,000
Long-term debt 720,000
Long-term investments 25,000
Machinery and equipment 615,000
Patents 109,000
Prepaid expenses 12,000
Rent expense 11,000
Rental revenues 36,000
Retained Earnings (beginning of year balance less dividends) 220,000
Salaries expense 115,000
Sales 1,370,000
Short-term investments 131,000
Unearned revenues 43,000.
Prepare an income statement, statement of changes in shareholder equity, and balance sheet.
Expert Answer:
Income statement of Ottawa corporation Sales 1370000 Cost of Goods Sold 756000 Gross Profit 614000 O... View the full answer
Intermediate Accounting Reporting and Analysis
ISBN: 978-1285453828
2nd edition
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach
