21.3 Comparative balance sheets for 2018 and 2017 and a statement of income for

Question

21.3

Comparative balance sheets for 2018 and 2017 and a statement of income for 2018 are given below for Metagrobolize Industries Additional information from the accounting records of Metagrobolize also is provided METAGROBOLIZE INDUSTRIES Comparative Balance Sheets December 31, 2018 and 2017 ( in 000s) 2018 2017 Assets Cash Accounts receivable Inventory Land Building $470220 280 395 620 800 (200) (170) 2,690 530 680 800 2,950 1,900 Less: Accumulated depreciation Equipment Less: Accumulated depreciation Patent (334) (300) 2,000 $ 7,496 6,535 Liabilities Accounts payable Accrued expenses payable Lease liability-land Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings $ 780630 215 240 130 2,500 545 2, 645 $7,496 6,535 2,640 600 3,106

Explanation / Answer

METAGROBOLIZE INDUSTRIES STATEMENT OF CASH FLOWS FOR YEAR ENDED DECEMBER 31, 2018 ($ IN 000s) CASH FLOWS FROM OPERATING ACTIVITIES CASH RECEIVED FROM CUSTOMERS (W.NO.-1) 2873 CASH PAID TO VENDORS (W.NO.-2) -1115 OPERATING EXPENSES PAID (W.NO.-6) -575 INCOME TAX PAID CASH PROVIDED BY OPERATING ACTIVITIES 1183 CASH FLOWS FROM INVESTING ACTIVITIES PURCHASE OF EQUIPMENT (W.NO.-4) -680 SALE PROCEEDS FROM EQUIPMENT (W.NO.-5) 22 SALE OF LAND 145 PAYMENT FOR FINANCE LEASE LIABILITY -20 CASH PROVIDED BY INVESTING ACTIVITIES -533 CASH FLOWS FROM FINANCING ACTIVITIES PROCEEDS FROM COMMON STOCK (W. NO.-7) 195 PROCEEDS FROM LONG TERM DEBT CASH DIVIDEND PAID -400 STOCK DIVIDEND PAID -195 CASH PROVIDED BY FINANCING ACTIVITIES -400 NET INCREASE/(DECREASE) IN CASH 250 OPENING CASH BALANCE 220 CLOSING CASH BALANCE 470 CASH RECEIVED FROM CUSTOMERS (W.NO.-1) OPENING ACCOUNT RECEIVABLES 280 ADD: SALE REVENUE 3123 LESS: CLOSING ACCOUNT RECEIVABLE 530 CASH RECEIVED 2873 CASH PAID TO VENDORS (W.NO.-2) OPENING ACCOUNT PAYABLE 630 ADD: PURCHASES (W.NO.-3) 1265 LESS: CLOSING ACCOUNT PAYABLE 780 CASH PAID 1115 PURCHASES (W.NO.-3) COST OF GOODS SOLD 980 ADD: CLOSING INVENTORY 680 LESS: OPENING INVENTORY 395 PURCHASES 1265 PURCHASE OF EQUIPMENT (W.NO.-4) OPENING EQUIPMENT 2690 LESS: SALE OF EQUIPMENT 420 BAL. SHOULD BE 2270 CLOSING EQUIPMENT 2950 PURCHASE OF EQUIPMENT 680 SALE PROCEEDS FROM EQUIPMENT (W.NO.-5) COST OF EQUIPMENT 420 DEPRECIATION @ 90% 378 WRITTEN DOWN VALUE 42 LOSS ON SALE OF EQUIPMENT 20 SALE PROCEEDS FROM EQUIPMENT 22 OPERATING EXPENSES PAID (W.NO.-6) OPENING ACCRUED EXPENSES PAYABLE 215 ADD: EXPENSES DURING THE YEAR 600 LESS: CLOSING ACCRUED EXPENSES PAYABLE 240 EXPENSES PAID 575 PROCEEDS FROM COMMON STOCK (W. NO.-7) CLOSING COMMON STOCK 2640 ADD: CLOSING PAID IN CAPITAL EXCESS OF PAR 600 LESS: OPENING COMMON STOCK 2500 LESS: OPENING PAID IN CAPITAL EXCESS OF PAR 545 PROCEEDS FROM COMMON STOCK 195 SALE OF LAND (W.NO.-8) OPENING LAND 620 ADD: FINANCIAL LEASE LIABILITY+PAID 150 770 CLOSING LAND 700 COST OF SALE OF LAND 70 PROFIT ON SALE OF LAND 75 SALE PROCEEDS FROM LAND 145

Related Questions

Navigate

• Browse (All)
• Browse 2
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.