Eddie Zambrano Corporatioon Retained Earnings Statement For the year ended

Eddie zambrano corporatioon retained earnings

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Eddie Zambrano Corporatioon Retained Earnings Statement For the year ended DEC.31, 2014 instruction Retained earnings,January 1, as reported 225,000 = 40,000+125,000+160,000-50,000-50,000 correction for depreciation error 15,000 = 25,000*40% Cumulative decrease in income from change in 21,000 = 35,000*40% inventory methods Retained earnings,January 1, as adjusted 189,000 Add: Net income 144,000 = 240,000*40% 333,000 Less: Dividends Declared 100,000 Retained earnings, December 31 233,000 B Retained earnings: Appropriated 70,000 unappropriated 163,000 Total 233,000
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E4-9 A Ivan Calderon Corp. Income statement(multiple-step) For the year ended December 31,2014 Sales Revenue Net sales $ 1300000 Cost of goods sold 780,000 Gross profit on sales 520,000 Operating Expenses Selling expenses 65,000 Administrative expenses 48,000 113,000 Income from operations 407,000 Other Revenues and Gains Dividend revenue 20,000 Interest revenue 7,000 27,000 434,000 Other Expenses and Losses Write-off of inventory due to obsolescence 80,000 Income before income tax and extraordinary item 354,000 Income tax 34% 120360 Income before extraordinary item 233,640 Extraordinary item Casualty loss 50,000 Less: Applicable tax reduction 17000 33,000 Net income 200,640 Per share of common stock: 60,000 common stock Income before extraordinary item 3.894 Extraordinary item, net of tax 0.55 Net income ($200,640  ÷  60,000) $ 3.344 B Ivan Calderon Corp. Retained Earnings Statement For the Year Ended December 31, 2014 Retained earnings, Jan. 1, as reported $ 980,000 Correction for overstatement of net income in prior period  depreciation error 36,300 (55,000-55,000*34%) Retained earnings, Jan. 1, as adjusted 943,700 Add: Net income 200,640 1,144,340 Less: Dividends declared 45,000 Retained earnings, Dec. 31 $ 1,099,340
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