AnyCash Co. started operation at the beginning of 2021. At the end of the year, the company
Question:
AnyCash Co. started operation at the beginning of 2021. At the end of the year, the company had the following account balances. Prepare the balance sheet, income statement, and statement of retained earnings for AnyCash Co. for the 12 months ended December 31, 2021:
1. AnyCash issued common stock worth $355,056, of which AnyCash recorded $123,366 under Common Stock and $231,690 under Paid-in Capital in Excess of Par.
2. The company had Cash and Cash Equivalents of $190,126, Investments in Marketable Securities for short-term trading purpose of $13,189, Accounts Receivable of $45,386, and Repayments and Other Assets of $24,940.
3. AnyCash had Long-term Note Receivables of $28,018.
4. AnyCash had Equity Investments in Subsidiaries of $241,521.
5. At the beginning of the year, and cash purchased Property and Equipment of $103,582.
6. AnyCash had Intangible Assets (patents) of $67,138 and Goodwill of $64,781.
7. AnyCash had Accounts Payable of $67,344 and Accrued Expenses and Other Liabilities of $58,618.
8. AnyCash had a balance of Deferred Revenue and Customer Advances of $41,614. AnyCash expected that it would deliver the products to these customers in the coming six months.
9. AnyCash had bank borrowings of $134,150, of which $7,206 is due in 2020. The remainder was due from 2021 to 2025.
10. AnyCash had Deferred Tax Liabilities of $22,517. These liabilities were not expected to be paid within three years.
11. AnyCash had Pension Liabilities of $7,654. The pension liabilities were not expected to be paid within the next 10 years.
12. AnyCash had Accumulated Other Comprehensive Income (loss) of ($2,185).
13. In 2021, AnyCash had Sales Revenues of $378,565, the Cost of Goods Sold of $208,194, R&D expenses of $37,435, Sales and Marketing Expenses of $39,780, General and Administrative Expenses of $22,868 (before any adjustments in 17. below).
14. AnyCash had an Investment Income of $31,749, Interest income of $280, Interest Expense of $5,190, and Other Income of $714. AnyCash classified these items as non-operating income (loss).
15. AnyCash used a corporate income tax rate of 26% to calculate its Income Tax Payable and Income Tax Expenses.
16. AnyCash paid a dividend of $3,928 in 2021.
17. Before the financial statements are finalized, you noted that the following needed to be adjusted:
a. The Property and Equipment (cost =$103,582) had a useful life of 10 years and no salvage value. any cash used the straight-line method to depreciate long-lived assets. Depreciation Expenses have been incorrectly omitted and should have been included in General and Administrative Expenses.
b. AnyCash expected that $2,819 out of the Accounts Receivable of $45,386 was uncollectible. Bad Debt Expenses have been incorrectly omitted and should have been included in General and Administrative Expenses.
c. AnyCash has not calculated the tax expenses and tax payables. Its tax expense was its Income Before Income Tax times 26%. The amount should also be included in current liabilities as Income Tax Payable.
Hotel Operations Management
ISBN: 978-0134337623
3rd edition
Authors: David K. Hayes, Jack D. Ninemeier, Allisha A. Miller