Homework 3

Homework 3 - Cash $28,000 Accounts Receivable 50,300...

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Ryan Gulliksen May 27, 2008 Homework 3 Problem 5-4B Problem 5-4B Danielle Department Store Income Statement For the Year Ended December 31, 2007 Sales revenues Sales $636,000 Less: Sales Returns and Allowances $8,000 8,000 Net Sales 628,000 Cost of goods sold 418,000 Gross Profit 210,000 Operating expenses Insurance Expense 8,400 Office Salaries Expense 32,000 Depreciation Expense- Building 10,400 Depreciation Expense- Equipment 13,000 Sales Salaries Expense 76,000 Sales Commission Expense 14,500 Utilities Expense 11,000 Property Tax Expense 6,200 Total operating expenses 171,500 Income from operations Other revenues and gains Gain on sale of equipment 4,300 Other expenses and losses Interest Expense 7,000 -2,700 Net Income $35,800 Retained Earnings Statement
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Year Ended December 31, 2007 Retained earnings $19,200 Add: Net Income 35,800 55,000 Less: Dividends 15,000 Retained Earnings; End Dec 31, 2007 40,000 Balance Sheet Year Ended December 31, 2007 Assets Current Assets
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Unformatted text preview: Cash $28,000 Accounts Receivable 50,300 Merchandise Inventory 63,000 Prepaid Insurance 2,400 Total current assets $143,700 Long-term investments NONE Property, plant, and equipment Building $190,000 Equipment 100,000 290,000 Less: Acc. Depreciation Building $52,500 Depreciation Equipment 42,600 95,100 194,900 Intangible Assets NONE Total Assets $338,600 Liabilities and Stockholders Equity Current liabilities Accounts Payable $68,300 Interest Payable 2,000 Sales Commissions Payable 3,500 Property Taxes Payable 4,800 Mortgage Payable 20,000 Total Current Liabilities $98,600 Long-term Liabilities Mortgage Payable 60,000 Total Long-term Liabilities $60,000 Total Liabilities $158,600 Stockholders equity Common Stock 140,000 Retained Earnings 19,200 Total Stockholders equity 159,200 Total Liabilities and Stockholders equity $317,800...
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This note was uploaded on 08/24/2008 for the course ACG 2102 taught by Professor Hill during the Spring '07 term at UNF.

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Homework 3 - Cash $28,000 Accounts Receivable 50,300...

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