{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

changeTB - Changes in the Account Balances Cash Accounts...

Info icon This preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
Changes in the Account Balances Balance Balance Difference 2007 2006 Inc. (Decrease) Cash 12,000 7,000 5,000 Accounts Receivable 55,000 53,000 2,000 Inventory 35,000 56,000 (21,000) Supplies 1,000 2,000 (1,000) Prepaid Insurance 2,000 3,000 (1,000) Equipment 92,000 105,000 (13,000) Building 400,000 375,000 25,000 Accumulated Depreciation (40,000) (30,000) (10,000) Land 100,000 75,000 25,000 Investments in Apple Computer 76,000 70,000 6,000 733,000 716,000 17,000 Accounts Payable 75,000 80,000 (5,000) Notes Payable 200,000 130,000 70,000 Bonds Payable 300,000 400,000 (100,000) Common Stock 45,000 30,000 15,000 Retained Earnings 123,000 76,000 47,000 **** Treasury Stock (10,000) 0 (10,000) 733,000 716,000 17,000 **** Assume that net income = $50,000 and dividends were $3,000 so the difference = 47,000
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
Changes in the Account Balances Balance Balance Difference 2007 2006 Inc. (Decrease) Cash 12,000 7,000 5,000 Accounts Receivable 55,000 53,000 2,000 Inventory 35,000 56,000 (21,000) Supplies 1,000 2,000 (1,000) Prepaid Insurance 2,000 3,000 (1,000) Equipment 92,000 105,000 (13,000) Building 400,000 375,000 25,000 Accumulated Depreciation (40,000) (30,000) (10,000) Land 100,000 75,000 25,000 Investments in Apple Computer 76,000 70,000 6,000 733,000 716,000 17,000 Accounts Payable 75,000 80,000 (5,000) Notes Payable 200,000 130,000 70,000 Bonds Payable 300,000 400,000 (100,000) Common Stock 45,000 30,000 15,000 Retained Earnings - net income 123,000 76,000 50,000 Retained Earnings - dividend portion (3,000) Treasury Stock (10,000) 0 (10,000) 733,000 716,000 17,000
Image of page 3

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
p Note that the difference of the differences is zero.
Image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern