FINANCIAL INFORMATION FOR THIS MILESTONEStockholder Equity / Earnings per shareOther ItemsA. Compose appropriate footnotes within a statement of comprehensive income in accordance wstandards, such as GAAP, International Financial Reporting Standards, and SEC, as applicable. MANAGEMENT BRIEF - Prepare in a Word document - see the rubric for final projectI.Evaluate the company’s current performance based on the outcomes of relevant ratio analysis. J.Discuss types of accounting changes encountered and when retrospective and prospective approacK.Predict theimpact of new credit policiesor a change in product or markets based on relevant ratio L.Discuss relevant accounting standardsfor informing the company’s financial reporting strategies. M.Explain how thefour-step processwas used for effectively correcting and reporting errors in the revPeyton Approved prides itself on transparency with shareholders and investors. The company has added tlaunched a new marketing campaign, which is estimated to bring in 20,000 new customers over the next 6 mThe company expects this expansion will require an additional $1,000,000 of capital and generate an addiprofit. The options are: 1)Issuing an additional $1,000,000 of 10%, 100-par convertible preferred stock (same class as is curre2)Issue an additional $1,000,000 of 8% convertible bonds (same terms as the existing issue) 3)$500,000 each of preferred stock and bonds ·On December 31, 20XX, the company repaired a packaging machine at cost of $27,000.00. Itextend the life of the machine by four years. No depreciation is necessary this year. ·The company spent $50,000 to obtain and defend a patent for its formula for dog treats. The1/1/20XX and provides 20 years of protection. The $50,000 amount was incorrectly charged to M
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with applicable accounting ches should be used. analysis. vision process. two storefront locations and months. itional $600,000 of after-tax ently outstanding) is expected that the repair will e patent took effect on Misc. Expense
Assets Liabilities and Owners' Equity Current Assets: Current Liabilities: Cash 1,488,999.34 Accounts Payable 1,555,212.85 Marketable Securities 5,500,000.00 Wages Payable 250,203.31 Accounts Receivable 7,092,495.88 Interest Payable 21,888.22 Baking Supplies 1,605,098.52 Current Portion of Bonds Payable 1,000,000.00 Merchandise Inventory 128,152.63 Income taxes currently payable 1,042,118.16 Prepaid Rent 71,877.07 Prepaid Insurance 207,834.14 Misc. Supplies 17,647.42 Total Current Assets 16,112,105.00 Total Current Liabilities 3,869,422.54 Long Term Liabilities: Long Term/Fixed Assets: Bonds Payable 10%, 20 year 4,000,000.00 Land 250,000.00 Building 1,250,000.00 Baking Equipment 2,254,140.00 Total Long Term Liabilities: 4,000,000.00 Accumulated Depreciation -328,282.00 Net Fixed assets 3,425,858.00 Total Liabilities: 7,869,422.54 Preferred Stock - (10,000 authorized, 500,000.00 5,000 issued, 10%, $100 par value) Common Stock - (2,000,000 shares 1,750,000.00 authorized, 1,750,000 issued, $1 par) Retained Earnings 9,418,540.46 Total Equity 11,668,540.46 Total Assets: 19,537,963.00 Total Liabilities & Equity 19,537,963.00
Bakery Sales $ 33,881,157.15 Merchandise Sales 124,795.80 Total Revenues 34,005,952.95 Cost of Goods Sold - Baked 10,954,907.36 Cost of Goods Sold - Merchandise 88,994.79 Total Cost of Goods Sold 11,043,902.15 Gross Profit 22,962,050.80 Operating Expenses: Rent Expense 1,576,731.95 Wages Expense 2,604,526.23 Misc. Supplies Expense 263,224.56 Repairs and Maintenance 47,353.05 Business License Expense 211,757.65 Misc. Expense
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