Following items are disclosed in the statement

This preview shows page 55 - 60 out of 60 pages.

Following items are disclosed in the statement:Issuances of shares and distributions (dividends) to owners.Reconciliation of the carrying amount of each component of stockholders’ equity from the beginning to the end of the period.Statement of Stockholders’ EquityComprehensive IncomeComprehensive IncomeLO 8 Explain how to report other comprehensive income.
E4-2Presented below is information related to Viel Company at December 31, 2014, the end of its first year of operations (Ignore tax effect).InstructionsCompute the following: (a) income from operations, (b) net income, (c) net income attributable to Viel Company's controlling shareholders, (d) comprehensive income, and (e) retained earnings balance at December 31, 2014.Sales revenue$310,000 Cost of goods sold140,000Selling and administrative expenses50,000Gain on sale of plant assets30,000Unrealized gain on available-for-sale investments10,000Interest expense6,000Loss on discontinued operations12,000Allocation to noncontrolling interest40,000Dividends declared and paid5,000
4-57Statement of Stockholders’ EquityStatement of Stockholders’ EquityIllustration 4-26Presentation of Comprehensive Incomein Stockholders’ Equity StatementLO 8 Explain how to report other comprehensive income.
4-58Statement of Stockholders’ EquityStatement of Stockholders’ EquityIllustration 4-27Presentation of Accumulated Other Comprehensive Income in the Balance SheetBalance Sheet PresentationLO 8 Explain how to report other comprehensive income.
E4-16. C. Reither Co. reports the following information for 2014: sales revenue $700,000; cost of goods sold $500,000; operating expenses $80,000; and an unrealized holding loss on available-for-sale securities for 2014 of $60,000. It declared and paid a cash dividend of $10,000 in 2014.C. Reither Co. has January 1, 2014, balances in common stock $350,000; accumulated other comprehensive income $80,000; and retained earnings $90,000. It issued no stock during 2014.InstructionsPrepare a statement of stockholders’ equity.
At Ruth Company, events and transactions during 2017 included the following. The tax rate for all items is 30%.(1) Depreciation for 2015 was found to be understated by $120,000.(2) A strike by the employees of a supplier resulted in a loss of $100,000.(3) The inventory at December 31, 2015 was overstated by $160,000.(4) A disposal of a component of the business resulted in a $2,000,000 loss.The effect of these events and transactions on 2017 net income net of tax would beA)($70,500).B)($1,470,000).C)($1,554,000).D)($1,666,000).

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture