Intermediate Accounting 1 - ACC. X Question S - Chapter 3 Homewe x https://ezto.mheducation.com/ext/map/index.html?_con= con&external_browser=0&launchUrl=https%253%252F%252FIms.mheducation.com%252Fmghmiddleware%252... A* to Chapter 3 Homework Saved Save & 5 The following are typical disclosures that would appear in the notes accompanying financial statements. For each of the items listed, indicate where the disclosure would likely appear-either in (A) the significant accounting policies note or (B) a separate note. (The first item is shown as an example.) 1.4 points 1. Inventory costing method 2. Information on related party transactions Book 3. Composition of property, plant, and equipment 4. Depreciation method 5. Subsequent event information Print 6. Measurement basis for certain financial instruments 7. Important merger occurring after year-end 8. Composition of receivables ReferencesIntermediate Accounting I - ACC x Question 4 - Chapter 3 Homewo X + C https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252... A Chapter 3 Homework i Saved Help Save & Exit 4 Check The following is the balance sheet of Korver Supply Company at December 31, 2020 (prior year). KORVER SUPPLY COMPANY 1.4 Balance Sheet points At December 31, 2020 Assets Cash $120,000 Accounts receivable 300,060 Inventory 200 , 606 Furniture and fixtures (net) Book 150,000 Total assets $770,000 Liabilities and Shareholders' Equity Accounts payable (for merchandise) $ 190, 060 Print Notes payable 200, 060 Interest payable 6 ,000 Common stock 100 , 006 Retained earnings 274, 006 References Total liabilities and shareholders' equity $770,060 Transactions during 2021 (current year) were as follows: 1. Sales to customers on account $800, 060 2. Cash collected from customers 780, 000 3. Purchase of merchandise on account 550,000 4. Cash payment to suppliers 560, 060 5 . Cost of merchandise sold 500,006 6. Cash paid for operating expenses 160, 090 Cash paid for interest on notes 12, 090 Additional Information: The notes payable are dated June 30, 2020, and are due on June 30, 2022. Interest at 6% is payable annually on June 30. Depreciation on the furniture and fixtures for 2021 is $20,000. The furniture and fixtures originally cost $300,000. Required: Prepare a classified balance sheet at December 31, 2021, by updating ending balances from 2020 for transactions during 2021 and the additional information. The cost of furniture and fixtures and their accumulated depreciation are shown separately. (Amounts to be deducted should be indicated by a minus sign.) Mc Intermediate Accounting 1 - ACC X Question 6 - Chapter 3 Homewo X + - C https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252.. A Chapter 3 Homework . Saved Help Save & Ex 6 Che Best Buy Co, Inc., is a leading retailer specializing in consumer electronics. A condensed income statement and balance sheet for the fiscal year ended January 28, 2017, are shown below. 1.4 points Best Buy Co, Inc. Balance Sheet At January 28, 2017 ($ in millions) Assets Book Current assets: Cash and cash equivalents 2, 240 Short-term investments 1, 681 Accounts receivable (net) 1 , 347 Hint Inventory 4, 864 Other current assets 384 Total current assets 10, 516 Long-term assets 3, 340 Print Total assets $13, 856 Liabilities and Shareholders' Equity Current liabilities Accounts payable $ 4,984 References Other current liabilities 2 , 138 Total current liabilities 7, 122 Long-term liabilities 2 , 025 Shareholders' equity 4,709 Total liabilities and shareholders' equity $13, 856 Best Buy Co, Inc. Income Statement For the Year Ended January 28, 2017 ($ in millions) Revenues $39, 403 Costs and expenses 37, 549 Operating income 1 , 854 Other income (expense)* (38) Income before income taxes 1, 816 Income tax expense 609 Net income $ 1, 207 *Includes $72 of interest expense. Required:Ion.com%252Fmghmiddleware chapter 3 Homework i Saved 4 the additional information. The cost of furniture and fixtures and their accumulated depreciation are shown separately. (Amounts to be deducted should be indicated by a minus sign.) KORVER SUPPLY COMPANY 1.4 Balance Sheet points At December 31, 2021 Assets Current assets Book Print Total current assets Property, plant, and equipment: References Net property, plant, and equipment Total assets Liabilities and Shareholders' Equity Current liabilities: Total current liabilities Shareholders' equity Total shareholders' equity Total liabilities and shareholders' equity Graw O 77OF Clear ~ Type here to searchIntermediate Accounting 1 - ACC x Question 3 - Chapter 3 Homewo X C https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252.. A Chapter 3 Homework Saved Help Save & Ch 3 The following balance sheet for the Los Gatos Corporation was prepared by a recently hired accountant. In reviewing the statement you notice several errors. 1.4 LOS GATOS CORPORATION points Balance Sheet At December 31, 2021 Assets Cash $ 40, 000 Accounts receivable 80,000 Book Inventory 55 , 000 Machinery (net) 120 , 000 Franchise (net) 30 , 000 Total assets $ 325, 000 Hint Liabilities and Shareholders' Equity Accounts payable 50, 000 Allowance for uncollectible accounts 5,000 Notes payable 55, 000 Print Bonds payable 110,000 Shareholders' equity 105,000 In Total liabilities and shareholders' equity $ 325, 000 References Additional Information: 1. Cash includes a $20,000 restricted amount to be used for repayment of the bonds payable in 2025. 2. The cost of the machinery is $190,000. 3. Accounts receivable includes a $20,000 notes receivable from a customer due in 2024. 4. The notes payable balance includes accrued interest of $5,000. Principal and interest are both due on February 1, 2022. 5. The company began operations in 2016. Net income less dividends since inception of the company totals $35,000. 6. 50,000 shares of no par common stock were issued in 2016. 100,000 shares are authorized. Required: Prepare a corrected, classified balance sheet. Use the additional information to help determine appropriate classifications and account balances. The cost of machinery and its accumulated depreciation are shown separately. (Amounts to be deducted should be indicated by a minus sign.) LOS GATOS CORPORATION Balance Sheet At December 31, 2021 McIntermediate Accounting 1 - ACC X Question 3 - Chapter 3 Homewo X + C https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddlewar Chapter 3 Homework Saved 3 Required: Prepare a corrected, classified balance sheet. Use the additional information to help determine appropriate classifications and account balances. The cost of machinery and its accumulated depreciation are shown separately. (Amounts to be deducted should be indicated by a minus sign.) 1.4 points LOS GATOS CORPORATION Balance Sheet At December 31, 2021 Book Assets Current assets Hint Print Net accounts receivable Total current assets References Investments Total investments Property, plant, and equipment: Net property, plant, and equipment Intangible assets Total assets Liabilities and Shareholders' Equity Current liabilities: raw Type here to search O 77'F Cleardiate Accounting 1 - ACC x Question 7 - Chapter 3 Homewo X https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%25 pter 3 Homework i Saved Hel The current asset section of Guardian Consultant's balance sheet consists of cash, accounts receivable, and prepaid expenses. The 2021 balance sheet reported the following: cash, $1,300,000; prepaid expenses, $360,000; long-term assets, $2,400,000; and shareholders' equity. $2,500.000. The current ratio at the end of the year was 2.0 and the debt to equity ratio was 1.4. Required: Determine the following 2021 amounts and ratios: (Round your "The acid-test ratio" answer to 1 decimal place.) e Book 1. Current liabilities 2. Long-term liabilities 3. Accounts receivable Hint 4. The acid-test ratio Print ferenceshttps://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware pter 3 Homework i Saved 8 Most decisions made by management impact the ratios analysts use to evaluate performance. Indicate (by letter) whether each of the actions listed below will immediately increase (1), decrease (D), or have no effect (N) on the ratios shown. Assume each ratio is less than 1.0 before the action is taken. Current Acid-Test Debt to Action Ratio Ratio Equity Ratio 1. Issuance of long-term bonds 2. Issuance of short-term notes Book 3. Payment of accounts payable 4. Purchase of inventory on account Print 5. Purchase of inventory for cash 6. Purchase of equipment with a 4-year note In 7. Repayment of long-term notes payable erences 8. Issuance of common stock 9. Payment for advertising expense 10. Purchase of short-term investment for cash 11. Reclassification of long-term notes payable to current notes payablehttps://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fims.mheducation.com%252Fmghmiddlewa Chapter 3 Homework i Saved 2 + . werelieu revenue will be recognized as leveque equally over we HEAL TWO years Required: Determine the company's working capital (current assets minus current liabilities) at December 31, 2021. (Amounts to be deducted 1.4 should be indicated by a minus sign.) points Skipped Current assets: Book Hint Print References Total current assets Current liabilities: Total current liabilities Working capita Mc Grav Type here to search OHCHORO 77.F ClearIntermediate Accounting 1 - ACC x Question 2 - Chapter 3 Homewo X + C https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252... A to Chapter 3 Homework Saved Help Save & Exit Submit Check my work 2 Presented below are the ending balances of accounts for the Kansas Instruments Corporation at December 31, 2021. Account Title Debits Credits 1.4 Cash 20,000 points Accounts receivable 130 , 000 Raw materials 24 , 000 Skipped Notes receivable 100, 000 Interest receivable 3 ,000 Interest payable $ 5,000 Investment in debt securities 32,060 Land 50,000 Buildings 1, 300, 090 Book Accumulated depreciation-buildings 620, 000 Work in process 42,000 Finished goods 89 , 000 Equipment 300,060 Hint Accumulated depreciation-equipment 130, 000 Patent (net) 120, 090 Prepaid rent (for the next two years) 50,060 Deferred revenue 36, 000 Accounts payable 180, 090 Print Notes payable 400, 090 Restricted cash (for payment of notes payable) 80,000 Allowance for uncollectible accounts 13, 000 Sales revenue 300, 000 References Cost of goods sold 450, 000 Rent expense 28, 000 Additional Information. 1. The notes receivable, along with any accrued interest, are due on November 22, 2022. 2. The notes payable are due in 2025. Interest is payable annually. 3. The investment in debt securities consist of treasury bills, all of which mature next year. 4. Deferred revenue will be recognized as revenue equally over the next two years. Required: Determine the company's working capital (current assets minus current liabilities) at December 31, 2021. (Amounts to be deducted should be indicated by a minus sign.) Current assets: Mc Graw 77.F Clear Type here to search O6 Other current liabilities 2, 138 Total current liabilities 7, 122 Long-term liabilities 2, 025 Shareholders' equity 4, 709 Total liabilities and shareholders' equity $13, 856 1.4 points Best Buy Co, Inc. Income Statement For the Year Ended January 28, 2017 ($ in millions) Book Revenues $39, 403 Costs and expenses 37,549 Operating income 1, 854 Other income (expense)* (38) Hint Income before income taxes 1 , 816 Income tax expense 609 Net income $ 1, 207 Print Includes $72 of interest expense. References Required: 1-a. Calculate the current ratio for Best Buy for its fiscal year ended January 28, 2017. 1-b. Calculate the acid-test ratio for Best Buy for its fiscal year ended January 28, 2017. 1-c. Calculate the debt to equity ratio for Best Buy for its fiscal year ended January 28, 2017. 1-d. Calculate the times interest earned ratio for Best Buy for its fiscal year ended January 28, 2017. (For all requirements, round your answers to 2 decimal places.) 1-a. Current ratio 1-b. Acid-test ratio 1-c. Debt to equity ratio 1-d. Times interest earned ratio times Mc Graw Type here to search O Ei m3 Total investments Property, plant, and equipment: 1.4 points Net property, plant, and equipment Intangible assets: Book Total assets Hint Liabilities and Shareholders' Equity Current liabilities: Print References Total current liabilities Long-term liabilities: Total liabilities Shareholders equity Total shareholders' equity Total liabilities and shareholders' equity Mc Graw Type here to search 77OF Clear ~