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Unformatted text preview: P2-47 a) Wilcox IncA Income statement for 2009Revenue 389,950Salaries expense (125,350)Supplies expense (110,600)Utilities expense (5,250)Rent expense (21,200)Other expenses(11,250)Income tax(35,000)Net Income 81,300Statement of retained earningsRetained earnings beginning311,000Net income 81,300Dividends (95,500)Retained earning ending296,800b) Classified balance sheet for Wilcox Inc.AssetCurrent Assets:Cash61,100Accounts receivable 90,000Supplies72,500Long-term assetsLand 42,500Building197,550Total Assets463,650Liabilities and stockholders equityCurrent liabilities Accounts payable38,050Note payable 63,800Total liabilities 101,850Owners equity Capital stock65,000Retained earnings296,800Total stockholders equity 361,800Total liabilities and stockholders equity 463,650Cash = (Owners equity + liabilities) All another Assets = 463,650 ( 90,000 + 42,500 +197,550 +72,500) = 60,100 C) The balance in retained earning is so large as compared with...
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This note was uploaded on 06/20/2011 for the course ECON 123 taught by Professor Mrews during the Spring '11 term at Korea Advanced Institute of Science and Technology.
- Spring '11