The owner of the All American Hero Restaurant asked his Certified Personal Accountant ( CPA ) to
Fantastic news! We've Found the answer you've been seeking!
Question:
The owner of the All American Hero Restaurant asked his Certified Personal Accountant CPA to
construct a balance sheet for the restaurant. The CPA requested all relevant financial records from the
restaurant owner. Here is a detailed record provided by the owner.
Machine and Equipment $
Food meat vegetables, frozen food in the cooler $
Cash in the coffer $ and cash in the bank $
Customers who have purchased food and have not paid their balances $
Employee's need to be paid next week $ and outstanding food bill due next week as
well $
Shortterm borrowing $
Due to the outstanding loan, accumulated interests are $
Leftover from last year net income and will be reinvested in the company $This
is an accumulated leftover income as well.
Small business administration loan outstanding amount of $
The company has shareholders with a capital amount of
The CPA believes that you can assist her in outlining the balance sheet items for the All American Hero
Restaurant and requested that you provide this information. Using the information provided in the
detailed financial record obtained from the owner above, construct the restaurant balance sheet.
Part B
The owner of the All American Hero Restaurant asked his CPA to construct an income statement for the
restaurant. The CPA requested all relevant financial records from the restaurant owner. Here is a
detailed record provided by the owner.
Proceed from food sales and catering are $
Cost of food sold is $
Insurance, cable, advertising, rent, and others $
Depreciation expense of $
Expenses that are already paid on the loans are $
The tax bracket for the restaurant is
The CPA believes that you can assist her in outlining the income statement items for the All American
Hero Restaurant and requested that you provide this information. Using the information provided in the
detailed financial record obtained from the owner above, construct the restaurant income statement.
Related Book For
Financial and Managerial Accounting the basis for business decisions
ISBN: 978-0078111044
16th edition
Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello
Posted Date: