BE4-1 Transactions that affect earnings do not necessarily affect cash. Identify the effect‚ if any‚ that each of the following transactions would have upon cash and net income. The first transaction has been completed as an example. (a) Purchased $100 of supplies for cash. Cash -100/ Net Income 0 (b) Recorded an adjusting entry to record use of $20 of the above supplies. Cash 0/ Net Income -20 (c) Made sales of $1‚300‚ all on account. Cash 0/ Net Income 1300 (d) Received $800 from customers
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Website address ROAD‚ ALMONDSBURY PARK‚ BRADLEY STOKE‚ SOUTH GLOS BS12 4QJ BRISTOL UNITED KINGDOM orange.co.uk Status & account information Legal form Private Limited Consolidation code U1 Legal status Active Account date 31/12/2009 Source Jordans Number of years 10 BvD indep. indicator D Account currency GBP Size & main activity/industry Op. revenue (Turnover) 5‚218 mil EUR No of employees 9‚159 P/L for period (Net Income) 2‚082 mil EUR
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Group Case 1: Ameritrade – Cost of Capital Executive Summary: As a deep-discount brokerage‚ Ameritrade planned to improve its competitive position by price cutting‚ technology enhancements‚ and increased advertising in mid-1997. Before initiating the plan‚ Ameritrade needed know whether the investment returned more than it cost. We were hired to estimate the cost of capital correctly. The key question is to find suitable comparable firms to estimate Ameritrade’s asset beta‚ since it was a recently-listed
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Invoice Invoice Date 12/31/2012 01/05/2013 Num 3 Account Accounts Receivable Accounts Receivable Total Ahmadrand‚ Ela Andrews Productions Invoice Accounts Receivable 12/31/2012 Total Andrews Productions Clark‚ Binsley‚ and Basil‚ CPA Invoice 12/31/2012 Invoice 01/05/2013 5 Accounts Receivable Accounts Receivable Total Clark‚ Binsley‚ and Basil‚ CPA Creative Products Invoice 12/31/2012 Accounts Receivable Total Creative Products Design Creations Invoice 12/31/2012 Accounts Receivable
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Technology Dec 31‚ 2011 1.46 1.73 Dec 31‚ 2010 1.55 1.67 Nokia Corp. ’s current ratio deteriorated from 2010 to 2011. b. Quick Ratio (calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities) Dec 31‚ 2011 1.07 1.38 Dec 31‚ 2010 1.16 1.34 Nokia Corp. ’s quick ratio deteriorated significantly from 2010 to 2011. c. Cash Ratio (calculated as (cash plus short-term marketable investments) divided by current liabilities) Dec 31‚ 2011 0.65 0.88
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amount owed on truck and $500 on amount owed on cleaning supplies. 20 Paid $2‚000 cash for employee salaries. 21 Collected $1‚600 cash from customers billed on July 12. 25 Billed customers $2‚500 for cleaning services. 31 Paid $290 for maintenance of the truck during month. 31 Declared and paid $600 cash dividend. The chart of accounts for Pro Window Washing contains the following accounts: Cash‚ Accounts Receivable‚ Supplies‚ Prepaid Insurance‚ Equipment‚ Accumulated Depreciation— Equipment
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December 31‚ 2012‚ for $108‚660. Date Cash Received Interest Revenue Bond Premium Amortization Carrying Amount of Bonds 12/31/12 $108‚660 12/31/13 $7‚000 $5‚433 $1‚567 107‚093 12/31/14 7‚000 5‚354 1‚646 105‚447 12/31/15 7‚000 5‚272 1‚728 103‚719 12/31/16 7‚000 5‚186 1‚814 101‚905 12/31/17 7‚000 5‚095 1‚905 100‚000 The following schedule presents a comparison of the amortized cost and fair value of the bonds at year-end. 12/31/13 12/31/14 12/31/15 12/31/16 12/31/17
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P45‚600 b. P34‚400 d. P46‚400 2. The August 31 bank statement of K‚ Inc. showed a balance of P113‚000. Deduction in arriving at this amount was a customer’s NSF check for P2‚400 that had been returned. K had received no prior notice concerning this check. In addition to the bank statement‚ other records showed there were deposits in transit totaling P17‚200 and that outstanding checks totaled P10‚800. What is the cash balance per books at August 31 (prior to adjustments)? a. P115‚400 c. P119‚400
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The information presented here represents selected data from the December 31‚ 2010‚ balance sheets and income statements for the year then ended for three firms. Calculate the missing amounts for each firm. Firm A Firm B Firm C Total assets‚ 12/31/10 $401‚000 $531‚000 $334‚000 Total liabilities‚ 12/31/10 222‚000 143‚000 ___________ Paid-in capital‚ 12/31/10 85‚000 [pic] 42‚000 Retained earnings‚ 12/31/10 [pic] 319‚000 ___________ Net income for 2010 _________ 91‚000 116‚000
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asset 1‚320 liability 10 During 08 11 During 08 12 During 08 13 31-12-08 14 31-12-08 15 31-12-08 16 31-12-08 17 31-12-08 18 31-12-08 Zealock Bookstore T-Account NO 9 12 DATE During 08 During 08 Dr account payable account payable Dr-Amount 139‚800 5‚600 8 During 08 account receivable 148‚200 account recievable 5‚800 142‚400 Cr Cr-Amount 160‚000 14‚600 account payable 1 2 8 10 13 01-7-08 01-7-08 During 08 During 08 31-12-08 cash cash cash cash cash(advance) 25‚000 cash 30‚000 cash
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