Prepare a balance sheet as of December 31, 20XY. (Input all answers as positive values. Balance Sheet For the Year Ended December 31, 20XY

Assets:

Cash

Accounts receivable

Inventory

Prepaid expenses

Plant and Equipment

less: acc. amortization

Net plant & equipment

Total assets

Liabilities

Accounts payable

Notes payable

Bonds payable

Shareholders' equity:

Retained earnings

Common stock

Total liabilities & equity

Transcribed Image Text:

For December 31, 20XX (last year), the balance sheet is as follows. Balance Sheet Liabilities $13,900 Accounts payable 17,800 Notes payable 27,500 Bonds payable 17,700 Current Assets Cash Accounts receivable Inventory Prepaid expenses Capital Assets Plant and equipment (gross) Less Accumulated amortization Net plant and equipment Total assets Shareholders' Equity $307,000 Common stock 54,400 Retained earings 252,000 $320.500 Total liabilities and shareholders' equity $16,500 26.700 50,500 $75,000 100,500 $329.500 Sales for 20XY (current year) were $266,000, with cost of goods sold being 68 percent of sales. Amortization expense was 10 percent of plant and equipment (net) at the beginning of the year. Interest expense for the bonds payable was 14 percent, while interest on the notes payable was 18 percent. These are based on December 31, 20XX, balances. Selling and administrative expenses were $23,700, and the tax rate averaged 18 percent.. During 20XY, the cash balance and prepaid expense balance were unchanged. Accounts receivable and inventory each increased by 19 percent, and accounts payable increased by 33 percent. A new machine was purchased on December 31. 20XY, at a cost of $25,500. A cash dividend of $12,000 was paid to common shareholders at the end of 20XY. Also, notes payable increased by $6,269 and bonds payable decreased by 10.780. The common stock account did not change. For December 31, 20XX (last year), the balance sheet is as follows. Balance Sheet Liabilities $13,900 Accounts payable 17,800 Notes payable 27,500 Bonds payable 17,700 Current Assets Cash Accounts receivable Inventory Prepaid expenses Capital Assets Plant and equipment (gross) Less Accumulated amortization Net plant and equipment Total assets Shareholders' Equity $307,000 Common stock 54,400 Retained earings 252,000 $320.500 Total liabilities and shareholders' equity $16,500 26.700 50,500 $75,000 100,500 $329.500 Sales for 20XY (current year) were $266,000, with cost of goods sold being 68 percent of sales. Amortization expense was 10 percent of plant and equipment (net) at the beginning of the year. Interest expense for the bonds payable was 14 percent, while interest on the notes payable was 18 percent. These are based on December 31, 20XX, balances. Selling and administrative expenses were $23,700, and the tax rate averaged 18 percent.. During 20XY, the cash balance and prepaid expense balance were unchanged. Accounts receivable and inventory each increased by 19 percent, and accounts payable increased by 33 percent. A new machine was purchased on December 31. 20XY, at a cost of $25,500. A cash dividend of $12,000 was paid to common shareholders at the end of 20XY. Also, notes payable increased by $6,269 and bonds payable decreased by 10.780. The common stock account did not change.

Answer rating: 100% (QA)

Calculate the cost of goods sold COGS COGSSalesCost of goods sold percentage COGS266000068 COGS181280 Calculate the amortization expense Amortization ... View the full answer