PART-4 PART-5 PART-6 Jaguar Plastics Company has been operating for three years. At December 31 of last

 

PART-4

PART-5

PART-6

 
 
 
 
 

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Jaguar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following: Cash Investments (short-term) Accounts receivable. Inventory Notes receivable (long-term) Equipment Factory building Intangibles $24,000 Accounts payable 2,100 Accrued liabilities payable 3,400 Notes payable (current) 24,000 Notes payable (noncurrent) 2,500 Common stock 53,000 Additional paid-in capital 90,000 Retained earnings 4,700 During the current year, the company had the following summarized activities: $17,000 3,800 6,500 44,000 10,800 97,200 24,400 a. Purchased short-term investments for $8,900 cash. b. Lent $5,600 to a supplier who signed a two-year note. c. Purchased equipment that cost $25,000; paid $4,200 cash and signed a one-year note for the balance. d. Hired a new president at the end of the year. The contract was for $84,000 per year plus options to purchase company stock at a set price based on company performance. The new president begins her position on January 1 of next year. e. Issued an additional 1,400 shares of $0.50 par value common stock for $17,000 cash. f. Borrowed $13,000 cash from a local bank, payable in three months. g. Purchased a patent (an intangible asset) for $1,500 cash. h. Built an addition to the factory for $27,000; paid $7,900 in cash and signed a three-year note for the balance. i. Returned defective equipment to the manufacturer, receiving a cash refund of $3,400. Jaguar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following: Cash Investments (short-term) Accounts receivable. Inventory Notes receivable (long-term) Equipment Factory building Intangibles $24,000 Accounts payable 2,100 Accrued liabilities payable 3,400 Notes payable (current) 24,000 Notes payable (noncurrent) 2,500 Common stock 53,000 Additional paid-in capital 90,000 Retained earnings 4,700 During the current year, the company had the following summarized activities: $17,000 3,800 6,500 44,000 10,800 97,200 24,400 a. Purchased short-term investments for $8,900 cash. b. Lent $5,600 to a supplier who signed a two-year note. c. Purchased equipment that cost $25,000; paid $4,200 cash and signed a one-year note for the balance. d. Hired a new president at the end of the year. The contract was for $84,000 per year plus options to purchase company stock at a set price based on company performance. The new president begins her position on January 1 of next year. e. Issued an additional 1,400 shares of $0.50 par value common stock for $17,000 cash. f. Borrowed $13,000 cash from a local bank, payable in three months. g. Purchased a patent (an intangible asset) for $1,500 cash. h. Built an addition to the factory for $27,000; paid $7,900 in cash and signed a three-year note for the balance. i. Returned defective equipment to the manufacturer, receiving a cash refund of $3,400.