Before taxes 25000 cumulative decrease in income from

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(Before taxes) $25,000 Cumulative decrease in income from change in inventory methods (before taxes) $45,000 Dividends declared $100,000 Of the dividends declared to date, the amount that will be paid on Jan 15, 2013 is: $25,000 Effective tax rate 40% Instructions: McENTIRE CORPORATION Retained Earnings Statement For the Year Ended December 31, 2012 Balance, January 1, as reported Amount Title Amount Title Amount Title Formula Add: Net income Amount Formula Title Amount Title Formula $70,000 Enter text answer here. Retained earnings Appropriated Amount Unappropriated Amount Total Amount Intermediate Accounting , 14 th Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse E4-11 (Retained Earnings Statement) McEntire Corporation began operations on January 1, 2007. During its first 3 years of operations, McEntire reported net income and declared dividends as follows. (a) Prepare a 2012 retained earnings statement for McEntire Corporation. (b) Assume McEntire Corp. restricted retained earnings in the amount of on December 31, 2012. After this action, what would McEntire report as total retained earnings in its December 31, 2012, balance sheet?
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987b4adf2e74f9aa851952442c0257ad6d48389e.xlsx, Problem 4-2 Solution, Page 9 of 16, 03/03/2016, 09:54:19 Name: Solution Date: Instructor: Course: THOMPSON CORPORATION Trial Balance December 31, 2012 Debits Credits Purchase Discounts $10,000 Cash $189,700 Accounts Receivable 105,000 Rent Revenue 18,000 Retained Earnings 160,000 Salaries and Wages Payable 18,000 Sales 1,100,000 Notes Receivable 110,000 Accounts Payable 49,000 Accumulated Depreciation-Equipment 28,000 Sales Discounts 14,500 Sales Returns 17,500 Notes Payable 70,000 Selling Expenses 232,000 Administrative Expenses 99,000 Common Stock 300,000 Income Tax Expense 53,900 Cash Dividends 45,000 Allowance for Doubtful Accounts 5,000 Supplies 14,000 Freight-in 20,000 Land 70,000 Equipment 140,000 Bonds Payable 100,000 Gain on Sale of Land 30,000 Accumulated Depreciation-Building 19,600 Inventory 89,000 Building 98,000 Purchases 610,000 Totals $1,907,600 $1,907,600 A physical count of inventory on December 31 resulted in an inventory amount of $64,000 thus, cost of goods sold for 2012 is $645,000 Intermediate Accounting , 14 th Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse P4-2 (Single-Step Income, Retained Earnings, Periodic Inventory) Presented below is the trial balance of Thompson Corporation at December 31, 2012.
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987b4adf2e74f9aa851952442c0257ad6d48389e.xlsx, Problem 4-2 Solution, Page 10 of 16, 03/03/2016, 09:54:19 Name: Solution Date: Instructor: Course: Instructions: 30,000 shares of common stock are outstanding the entire year. THOMPSON CORPORATION Income Statement For the Year Ended December 31, 2012 Revenues Net sales ($1,100,000 - $14,500 - $17,500) $1,068,000 Gain on sale of land 30,000 Rent revenues 18,000 Total revenues $1,116,000 Expenses Cost of goods sold 645,000 Selling Expenses 232,000 Administrative Expenses 99,000 Total expenses 976,000 Income before income taxes 140,000 Income Tax Expense 53,900 Net income $86,100 Earnings per share ($86,100 / 30,000 shares) $2.87 Computation of cost of goods sold: Inventory, Jan. 1 $89,000 Purchases $610,000 Less: Purchase discounts 10,000 Net purchases 600,000 Add: Freight-in 20,000 620,000 Inventory available for sale 709,000 Less: Inventory, Dec. 31 64,000 Cost of goods sold $645,000 THOMPSON CORPORATION Statement of Retained Earnings
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