Use the following information to answer the following question. Statement of income For the year Sales $28,400
Fantastic news! We've Found the answer you've been seeking!
Question:
Use the following information to answer the following question.
Statement of income | |
For the year | |
Sales | $28,400 |
cost of goods sold | 21,200 |
Depreciation | 2,700 |
Earnings before interest and taxes | $ 4,500 |
interested payment | 850 |
taxable income | $ 3,650 |
Taxes | 1,400 |
Net Income | $ 2,250 |
Dividends $900 |
Balance sheet | |
End of the year | |
Money | $ 550 |
accounts receivable | 2,450 |
Inventory | 4,700 |
Total current assets | $ 7,700 |
net fixed assets | 16,900 |
total assets | $24,600 |
Accounts payable | $ 2,700 |
long term debt | 9,800 |
Common Stock ($1 par value) | 8,000 |
Retained earnings | 4,100 |
Full Responsibility & Equity | $24,600 |
Assume that this business is currently operating at 98 percent capacity and that sales are projected to increase to $35,000.
What is the projected addition to fixed assets?
Related Book For
Fundamental Accounting Principles Volume II
ISBN: 978-1259066511
14th Canadian Edition
Authors: Larson Kermit, Jensen Tilly
Posted Date: