EXAM 2 to be printed and emailed

EXAM 2 to be printed and emailed - Problem 1 Depreciation...

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Problem 1 Depreciation Expense: $196,000-$16,000 = $30,000 6 years Equipment $196,000 Depreciation Expense $30,000 Accumulated Depreciation (4 x $30,000) $120,000 Retained Earnings $106,000 2008: $360,000 – $30,000 = $330,000. 2009: $450,000 – $30,000 = $420,000. 2010: $480,000 – $30,000 = $450,000. Retained Earnings, Unadjusted $1,260,000 Correction of 2008 Error $166,000 Retained Earnings, Adjusted $1,426,000 Retained Earnings, Unadjusted $1,800,000 Correction of Error ($196,000 - $90,000 $106,000 Retained Earnings, Adjusted $1,906,000 Problem 2
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Problem 3 Statement of Cash Flows For the Year Ended December 31, 2010
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Cash Flows from Operating Activities Net Income $201,000 Adjustments to reconcile Net Income to net cash provided by operating activities: Increase in Accounts Receivable ($42,000) Decrease in Accounts Payable ($15,000) Depreciation Expense $75,000 Decrease in Inventory $30,000 Decrease in Prepaid Expenses $9,000 Patent Amortization $21,000 Increase in Accrued Liabilities
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This note was uploaded on 06/23/2010 for the course ACC 412 taught by Professor Adams during the Spring '10 term at Acadia.

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EXAM 2 to be printed and emailed - Problem 1 Depreciation...

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