Part II: Open Ended Accounting Problems Instructions: Determine a final numerical answer for each question. You will record your ANSWERS ONLY on THPS-2 Answer Submission Form on iCollege. For dollar answers (unless otherwise specifically instructed), round (if necessary) to 0 decimal places, but do NOT include a dollar sign or any commas on iCollege. For example, record $24,302.84962 as 24303. For percent answers (unless otherwise specifically instructed), round (if necessary) to 1 decimal place, but do NOT include a percent sign on iCollege. For example, record 0.154863 = 15.4863% as 15.5. If your answer is a negative amount, enter a hyphen (-) before your number with no space between the hyphen and the number. For example, enter negative 319 as -319. 21. Assume that the following current asset and current liability accounts apply to the James Company for the years 2021 and 2022 (note: the ??? in the table is a figure that you must determine).

James Company Current Asset and Current Liability Accounts For the Years Ending December 31 2021 2022 Cash 2,100 1,600 Accounts receivable 5,200 6,100 Inventory 7,900 ??? Notes payable 600 900 Accounts payable 1,900 1,400 Accruals 300 500

These are the only current asset and current liability accounts listed on the company's balance sheet. In 2022, James Company had net cash flow from operating activities of $600. If James Company reported net income in 2021 of $1600, net income in 2022 of $1800, depreciation expense in 2021 of $100, depreciation expense in 2022 of $200, paid a common stock dividend in 2021 of $100, and paid a common stock dividend in 2022 of $300, what is ??? in the table above?

22. Assume that the following current asset and current liability accounts apply to the Harden Company for the years 2021 and 2022 (note: the ??? in the table is a figure that you must determine).

Hardin Company Current Asset and Liability Accounts For the Years Ending December 31,

2021 2022 Cash 31,500 32,200 Accounts receivable 64,800 68,300 Inventory 116,900 107,200 Notes payable 10,600 10,600 Accounts payable 11,600 ??? Accruals 1,700 2,900

These are the only current asset and current liability accounts listed on the company's balance sheet. In 2022, Harden Company had net cash flow from operating activities of $18,800. If Harden Company reported net income in 2021 of $10,900, net income in 2022 of $12,100, depreciation expense in 2021 of $900, depreciation expense in 2022 of $1300, paid a common stock dividend in 2021 of $1000, and paid a common stock dividend in 2022 of $1300, what is ??? in the table above?

USE THE DATA IN THE TABLE BELOW TO ANSWER THE FOLLOWING 3 QUESTIONS

StepCurry, Incorporated Balance Sheets for the Years Ending December 31,

(All amounts are in dollars) Year 1 Year 2 Cash 2,440 2,560 Accounts receivable 14,640 14,080 Inventory 23,180 25,600 Total current assets 40,260 42,240 Net fixed assets* 81,740 85,760 Total assets 122,000 128,000 Notes payable 3,660 2,560 Accounts payable 10,980 10,240 Accruals 1,220 3,840 Total current liabilities 15,860 16,640 Long-term debt 29,280 26,880 Common stock 25,620 29,440 Capital surplus 6,100 7,680 Retained earnings 45,140 47,360 Total liabilities and equity 122,000 128,000

Additional Data from Company Income Statement(s): Sales in Year 2 256,000 Net income in Year 2 5,120 Depreciation expense in Year 1 9,760 Depreciation expense in Year 2 11,520 Additional Data from Company Income Statement(s): * No long-term assets were sold in either Year 1 or Year 2

23. What did StepCurry, Incorporated report as Net Cash Flow from Operating Activities for Year 2? 24. What did StepCurry, Incorporated report as Net Cash Flow from Investing Activities for Year 2? 25. What did StepCurry, Incorporated report as Net Cash Flow from Financing Activities for Year 2?

USE THE DATA IN THE TABLE BELOW TO ANSWER THE FOLLOWING 3 QUESTIONS NikoJokic, Inc. Balance Sheets for the Years Ending December 31, (All amounts are in dollars)

Year 1 Year 2 Cash 38,200 32,880 Accounts receivable 61,120 41,100 Inventory 397,280 468,540 Total current assets 496,600 542,520 Gross fixed assets* 382,000 419,220 (Accumulated depreciation) (114,600) (139,740) Net fixed assets 267,400 279,480 Total assets 764,000 822,000 Notes payable 61,120 82,200 Accounts payable 137,520 156,180 Accruals 15,280 24,660 Total current liabilities 213,920 263,040 Long-term debt 106,960 57,540 Common stock 22,920 41,100 Capital surplus 229,200 254,820 Retained earnings 191,000 205,500 Total liabilities and equity 764,000 822,000

Additional Data from Company Income Statement(s):

Sales in Year 2 Net income in Year 2 * No long-term assets were sold in either Year 1 or Year 2

26. What did NikoJokic, Inc. report as Net Cash Flow from Operating Activities for Year 2? 27. What did NikoJokic, Inc. report as Net Cash Flow from Investing Activities for Year 2? 28. What did NikoJokic, Inc. report as Net Cash Flow from Financing Activities for Year 2?

USE THE DATA IN THE TABLE BELOW TO ANSWER THE FOLLOWING 3 QUESTIONS LebroJames, Inc. Balance Sheets for the Years Ending December 31, (All amounts are in dollars) Year 1 Year 2 Cash 36,920 37,660 Accounts receivable 221,520 207,130 Inventory 350,740 376,600 Total current assets 609,180 621,390 Gross fixed assets* 1,439,880 1,468,740 (Accumulated depreciation) (276,900) (282,450) Net fixed assets 1,162,980 1,186,290 Land 73,840 75,320 Total assets 1,846,000 1,883,000 Notes payable 55,380 37,660 Accounts payable 166,140 150,640 Accruals 18,460 56,490 Current portion of LT Debt 129,220 150,640 Total current liabilities 369,200 395,430 Long-term debt 406,120 395,430 Common stock 332,280 338,940 Paid in capital 92,300 94,150 Retained earnings 646,100 659,050 Total liabilities and equity 1,846,000 1,883,000

Additional Data from Company Income Statement(s):

Sales in Year 2 3,766,000 Net income in Year 2 18,830 * No long-term assets were sold in either Year 1 or Year 2

29. What did LebroJames, Inc. report as Net Cash Flow from Operating Activities for Year 2? 30. What did LebroJames, Inc. report as Net Cash Flow from Investing Activities for Year 2? 31. What did LebroJames, Inc. report as Net Cash Flow from Financing Activities for Year 2?.

USE THE DATA IN THE TABLE BELOW TO ANSWER THE FOLLOWING 3 QUESTIONS LukaDonc, Incorporated Balance Sheets for the Years Ending December 31, (All amounts are in dollars)

Year 1 Year 2 Cash 205,400 217,400 Accounts receivable 3,697,200 3,478,400 Inventory 1,643,200 2,174,000 Total current assets 5,545,800 5,869,800 Net fixed assets* 13,351,000 14,131,000 Land 1,643,200 1,739,200 Total assets 20,540,000 21,740,000 Notes payable 1,027,000 869,600 Accounts payable 2,464,800 2,174,000 Accruals 616,200 869,600 Current portion of LT Debt 2,670,200 3,043,600 Total current liabilities 6,778,200 6,956,800 Long-term debt 6,367,400 6,739,400 Common stock 616,200 869,600 Capital surplus 2,464,800 2,826,200 Retained earnings 4,313,400 4,348,000 Total liabilities and equity 20,540,000 21,740,000

Additional Data from Company Income Statement(s): Sales in Year 2 43,480,000 Net income in Year 2 869,600 Depreciation expense in Year 1 3,697,200 Depreciation expense in Year 2 4,130,600 * No long-term assets were sold in either Year 1 or Year 2

32. What did LukaDonc, Incorporated report as Net Cash Flow from Operating Activities for Year 2? 33. What did LukaDonc, Incorporated report as Net Cash Flow from Investing Activities for Year 2? 34. What did LukaDonc, Incorporated report as Net Cash Flow from Financing Activities for Year 2?

35. On December 31, 2020, Russel, Inc. reported retained earnings of $110,000. In 2021, Russel, Inc. had revenues of $85,000 and expenses of $45,000. In addition, the business paid cash dividends in 2021 of $35,000. Given this information, what was Retained earnings on Russel, Inc.'s balance sheet on December 31, 2021?

36. If a firm has $14,000 in inventories, a current ratio equal to 0.8, and a quick ratio equal to 0.4, what is the firm's Net Working Capital?

37. JoelEmbi, Inc. has an ROA (return on assets) of 18.2 percent, total assets of $12,000,000 and a net profit margin of 4.6 percent. What are JoelEmbi, Inc.'s annual sales? Enter your answer a whole number (i.e., rounded to zero decimal places.

38. JimmyButle, LLC. has a debt-to-total assets ratio of 72.4%. What is the company's debt-to-equity ratio? Enter your answer as a ratio (that is, do not convert to a percent), rounded to 2 decimal places.

39. JohCol, Inc has a debt ratio of 26.8% and ROE = 14.6%. What is JohCol, Inc.'s ROA? Enter your answer as a percent rounded to 1 decimal place.

40. PauGeo, Inc. has an ROA of 24% and a debt/equity ratio of 2.22. The firm's ROE is _________. Enter answeas a percent rounded to 1 decimal place.

41. Assume that TraeYoung, Inc. has: Debt ratio = 30% Net profit margin = 8.5% Return on assets (ROA) = 24% Find TraeYoung's Total Asset Turnover ratio. Enter answer as a ratio (that is, do not convert to a percent), rounded to 2 decimal places.

USE THE FOLLOWING INFORMATION TO CONSTRUCT A BALANCE SHEET TO ANSWER QUESTIONS 42 THROUGH 46 Financial Data for Spinaway, Inc. (Unless otherwise noted, all data is for December 31, 202 Number of shares outstanding 72,000 Average collection period (days) 25 Sales $960,000 Accounts payable days 15 Gross profit margin 20% Retained earnings (Dec 31, 2021) $328,000 Inventory turnover ratio 8 Dividends paid in 2022 $65,000 Notes payable $18,000 Accruals $21,000 Net profit margin 15% Land $186,000 Return on assets 8.0% Debt ratio 65% Percent of sales on credit 90% Par value per share $0.50 Gross fixed assets $2,276,000 Accumulated depreciation $940,000

Assume a 360-day year and assume that the only accounts on the balance sheet are those listed below. Fill in this chart with the data provided and then answer questions 42, 43, 44, 45 and 46. NOTE: When you create the balance sheet associated with the data above, round all figures (if necessary) to the nearest whole dollar (i.e., to 0 decimal places). Be sure that your final balance sheet balances

Spinaway, Inc. Balance Sheet for the Year Ending December 31, 2022

Cash __________ Notes payable __________ Accounts receivable __________ Accounts payable __________ Inventory __________ Accruals __________ Current assets __________ Current liabilities __________ Gross fixed assets __________ Long-term debt __________ (Accumulated depreciation) __________ Total liabilitiies __________ Net fixed assets __________ Common stock __________ Land __________ Capital surplus __________ Total assets __________ Retained earnings __________ Total liab. & equity __________

42. Cash = ____________. 43. Current assets = ____________. 44. Current liabilities = ____________. 45. Total liabilities = ____________. 46. Total shareholder equity = ____________.

USE THE FOLLOWING INFORMATION TO CONSTRUCT A BALANCE SHEET TO ANSWER QUESTIONS 47 THROUGH 50 Financial Data for Fedrekoko, Inc. (Unless otherwise noted, all data is for December 31, 2022 Number of shares outstanding 60,000 Average collection period (days) 24 Sales $800,000 Accounts payable days 9 Gross profit margin 30% Capital surplus $138,500 Inventory turnover ratio 7 Total dividends paid $4,000 Cash $25,000 Accruals $20,500 Net profit margin 10% Quick ratio 1.6 Return on assets 16% Debt ratio 30%

Assume a 360-day year and assume that the only accounts on the balance sheet are those listed below. Fill in this chart with the data provided and then answer questions 47, 48, 49 and 50. NOTE: When you create the balance sheet associated with the data above, round all figures (if necessary) to the nearest whole dollar (i.e., to 0 decimal places). Be sure that your final balance sheet balances

Fedrekoko, Inc. Balance Sheet for the Year Ending December 31, 2022

Cash __________ Notes payable __________ Accounts receivable __________ Accounts payable __________ Inventory __________ Accruals __________ Current assets __________ Current liabilities __________ Net fixed assets __________ Long-term debt __________ Total assets __________ Total liabilitiies __________ Common stock ($0.50 par value) __________ Capital surplus __________ Retained earnings __________ Total liab. & equity _________

47. Current assets = ____________. 48. Current liabilities = ____________. 49. Long-term debt = ____________. 50. Total assets =____________