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The following information applies to the questions displayed below.] Fedex Corpo

ID: 2339335 • Letter: T

Question

The following information applies to the questions displayed below.] Fedex Corporation reported its balance sheet at May 31, 2013. Assume the following alphabetically listed accounts were included in its trial balance immediately prior to preparing the financial statements FEDEX CORPORATION Adjusted Trial Balance At May 31, 2013 (millions of dollars) Debit $ 6,000 5,900 Credit $ 3,900 20,600 3,700 Accounts Payable Accounts Receivable Accumulated Depreciation-Equipment Cash Common Stock Depreciation Expense Dividends Equipment Goodwill Income Tax Expense Income Tax Payable Interest Expense Interest Receivable Interest Revenue Notes Payable (long-term) Notes Payable (short-term) Office Expenses Prepaid Rent Rent Expense Repairs and Maintenance Expense Retained Earnings Salaries and Wages Expense Salaries and Wages Payable Service Revenue Supplies Transportation Expense 3,400 270 40,100 4,800 1,400 1,400 200 110 120 8,700 800 7,640 1,350 3,500 2,900 16,500 17,600 2,700 50,200 550 12,900 $108,620 $108,620

Explanation / Answer

FEDEX Corporation

Income statement

For the year ended May 31, 2013

Revenue

Interest revenue

120

Service revenue

50200

Total Revenue

50320

Less: Expense

Office expense

7640

Transportation expense

12900

Salaries and wages expense

17600

Rent expense

3500

Interest expense

200

Depreciation expense

3400

Income tax expense

1400

Repair and maintenance expense

2900

Total Expense

49540

Net income

780

FEDEX Corporation

Retained earnings

For the year ended May 31, 2013

Beginning retained earning

16500

Add: net income

780

Less: dividend

270

Ending retained earning

17010

FEDEX Corporation

Balance sheet

Assets

Current assets

Cash

5900

Supplies

550

Account receivable

6000

Interest receivable

110

Prepaid rent

1350

Total current assets

13910

Non- current assets

Goodwill

4800

Equipment

40100

Accumulated depreciation – Equipment

-20600

Net Equipment

19500

Total assets

38210

Liability and stockholder's equity

Current liability

Account payable

3900

Income tax payable

1400

Salaries and wages payable

2700

Notes payable (short term)

800

Total current liability

8800

Non-current liability

Notes payable (Long term)

8700

Total non-current liability

8700

Total liability

17500

Stockholder's equity

Common stock

3700

Retained earnings

17010

Total stockholder's equity

20710

Total liability and stockholder's equity

38210

FEDEX Corporation

Income statement

For the year ended May 31, 2013

Revenue

Interest revenue

120

Service revenue

50200

Total Revenue

50320

Less: Expense

Office expense

7640

Transportation expense

12900

Salaries and wages expense

17600

Rent expense

3500

Interest expense

200

Depreciation expense

3400

Income tax expense

1400

Repair and maintenance expense

2900

Total Expense

49540

Net income

780