For each account on this company’s balance sheet, show the change in the account
ID: 2488052 • Letter: F
Question
For each account on this company’s balance sheet, show the change in the account during 2012 and note whether this change was a source or use of cash. (If there is no action select "None" from the dropdown options. Leave no cells blank - be certain to enter "0" wherever required. Negative amounts should be indicated by a minus sign.)
JUST DEW IT CORPORATION2011 and 2012 Balance Sheets Assets Liabilities and Owners’ Equity 2011 2012 2011 2012 Current assets Current liabilities Cash $ 12,000 $ 17,775 Accounts payable $ 46,875 $ 55,575 Accounts receivable 12,750 16,425 Notes payable 19,125 24,750 Inventory 50,250 56,925 Total $ 75,000 $ 91,125 Total $ 66,000 $ 80,325 Long-term debt $ 30,000 $ 27,000 Owners’ equity Common stock and paid-in surplus $ 45,000 $ 45,000 Retained earnings 234,000 297,675 Net plant and equipment $ 300,000 $ 358,875 Total $ 279,000 $ 342,675 Total assets $ 375,000 $ 450,000 Total liabilities and owners’ equity $ 375,000 $ 450,000
Explanation / Answer
2011 Sources/Uses 2012 Assets Explanation Current assets Effect Change Cash $ 12,000 $ (Click to select)NoneSourceUse Source 5,775 17,775 Increase in cash means source of cash Accounts receivable 12,750 (Click to select)UseNoneSource Use 3,675 16,425 Increase in current assets implies decrease in cash Inventory 50,250 (Click to select)SourceNoneUse Use 6,675 56,925 Increase in current assets implies decrease in cash Total $ 75,000 $ (Click to select)UseSourceNone $ 91,125 Fixed assets Net plant and equipment $ 300,000 $ (Click to select)UseNoneSource Use 58,875 358,875 Increase in fixed assets implies cash outflow Total assets $ 375,000 $ (Click to select)SourceUseNone Use 75,000 450,000 Liabilities and Owners’ Equity Current liabilities Accounts payable $ 46,875 $ (Click to select)NoneSourceUse Source 8,700 55,575 Increase in current liabilities meaans increase in cash Notes payable 19,125 (Click to select)NoneUseSource Source 5,625 24,750 Increase in notes payable means source of cash inflow Total $ 66,000 $ (Click to select)SourceNoneUse Source 14,325 80,325 Long-term debt $ 30,000 $ (Click to select)SourceUseNone Use -3,000 27,000 It means repayment of loan and thereby cash outflow Owners' equity Common stock and paid-in surplus $ 45,000 $ (Click to select)NoneUseSource No change 0 45,000 Accumulated retained earnings 234,000 (Click to select)SourceUseNone None 63,675 297,675 Total $ 279,000 $ (Click to select)UseSourceNone $ 342,675 Total liabilities and owners' equity $ 375,000 $ (Click to select)UseSourceNone $ 450,000
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