The company has added t launched a new marketing campaign which is estimated to

The company has added t launched a new marketing

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Peyton Approved prides itself on transparency with shareholders and investors. The company has added t launched a new marketing campaign, which is estimated to bring in 20,000 new customers over the next 6 m The company expects this expansion will require an additional $1,000,000 of capital and generate an addi profit. The options are: 1) Issuing an additional $1,000,000 of 10%, 100-par convertible preferred stock (same class as is current 2) 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
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ance workbook (red tab) losure within notes. financial information to support claims. re , using financial information to support claims. ny. ome HOME
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e the necessary adjusting entry. urn ferred tax. ved has been a C Corp since the % state). two storefront locations and months. itional $600,000 of after-tax tly outstanding)
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PEYTON APPROVED TRIAL BALANCE As of December 31, 2017 Dr Cr Cash 1,488,999.34 Marketable Securities 5,500,000.00 Accounts Receivable 7,092,495.88 Baking Supplies 1,605,098.52 Merchandise Inventory 128,152.63 Prepaid Rent 71,877.07 Prepaid Insurance 207,834.14 Misc. Supplies 17,647.42 Land 250,000.00 Building 1,250,000.00 Baking Equipment 2,254,140.00 6 Accumulated Depreciation 328,282.00 Patent Accounts Payable 1,555,212.85 Wages Payable 250,203.31 Interest Payable 21,888.22 Current Portion of Bonds Payable 1,000,000.00 Income Taxes Currently Payable 1,042,118.16 Accrued Pension Liability Accrued Employees Health Insurance Lease Liability Deferred Tax Liability Bonds Payable 4,000,000.00 Preferred Stock 500,000.00 Common Stock 1,750,000.00 Beginning Retained earnings 2,213,122.59 Dividends - Preferred 50,000.00 Dividends - Common 5,250,000.00 Bakery Sales 33,881,157.15 Merchandise Sales 124,795.80 Cost of Goods Sold - Baked 10,954,907.36 Cost of Goods Sold - Mercha 88,994.79 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
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Misc. Expense 141,171.08 Depreciation Expense 634,520.00 Insurance Expense 112,937.69 Advertising Expense 160,413.49 Interest Expense 484,703.27 Telephone Expense 50,821.34 Pension Expense 4 Retired Employees Health Ins. 5 Patent Amortization Unrealized Gain/(Loss) on Marketable Securities Held for Sale 1 Income Taxes 4,168,472.62 2 Deferred tax Expense 3 46,666,780.08 46,666,780.08 (1) (2) (3) (4) (5) 6 6** 6b (7) (8)
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Adjusting entries Dr Cr Dr Cr 1,488,999.34 1 265,000.00 5,235,000.00 7,092,495.88 1,605,098.52 128,152.63 71,877.07 207,834.14 17,647.42 250,000.00 1,250,000.00 106,589.40 2,360,729.40 328,282.00 - 1,555,212.85 250,203.31 21,888.22 1,000,000.00 2 375.00 1,042,493.16 4 107,041.70 107,041.70 5 43,718.91 43,718.91 6** 86,589.40 86,589.40 - 3 52,325.25 52,325.25 4,000,000.00 500,000.00 1,750,000.00 2,213,122.59 50,000.00 5,250,000.00 33,881,157.15 124,795.80 10,954,907.36 88,994.79 6b 20,000.00 1,556,731.95 2,604,526.23 263,224.56 47,353.05 211,757.65 HOME
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141,171.08 634,520.00 112,937.69 160,413.49 484,703.27 50,821.34 107,041.70 107,041.70 43,718.91 43,718.91 - - 265,000.00 265,000.00 - 375.00 4,168,847.62 52,325.25 52,325.25 575,050.26 575,050.26 46,956,830.34 46,956,830.34 265,000.00 Record Unrealized Loss of Marketable Securities milestone 1 375.00 Adjust income taxes for correct effective rate $150 milestone 1 52,325.25 Record Deferred Taxes for timing difference on book milestone 1 107,041.70 Record Pension Liability expense & liability. milestone 2 43,718.91 Record Health Insurance expense & liability. milestone 2 20,000.00 Record lease asset and liablity milestone 2 (106,589.40 - 20,000.00) Credit amount back to rent/lease expense. final final
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Southern New Hampshire University IMPORTANT NOTE: Use the data from this Milestone and begin working on your final presentation due in Week 7 ITEMS TO COMPLETE FOR THIS MILESTONE: GENERAL CAPITAL LEASES Calculate capital lease obligations Prepare appropriate adjusting entries PENSION PAYOUTS Calculate pension liability Calculate health insurance liability ADJUSTING ENTRIES Prepare adjusting entries for capital lease obligations Prepare adjusting entries for pension payouts FINANCIAL INFORMATION FOR THIS MILESTONE
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