#1 A comparative balance sheet for Bouvier Corporation is


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Questions in Attachement ACCT221Fall14.doc #1 A comparative balance sheet for Bouvier Corporation is presented below: Cash Accounts receivable (net) Prepaid insurance Land Equipment Accumulated depreciation Total Assets BOUVIER CORPORATION Comparative Balance Sheet 2014 Assets $ 36,000 70,000 25,000 18,000 70,000 (20,000) $199,000 Liabilities and Stockholders’ Equity Accounts payable $ 11,000 Bonds payable 27,000 Common stock 140,000 Retained earnings 21,000 Total liabilities and stockholders’ equity $199,000 2013 $ 31,000 60,000 17,000 40,000 60,000 (13,000) $195,000 $ 6,000 19,000 115,000 55,000 $195,000 Additional information: 1. Net loss for 2014 is $20,000. 2. Cash dividends of $14,000 were declared and paid in 2014. 3. Land was sold for cash at a loss of $4,000. This was the only land transaction during the year. 4. Equipment with a cost of $15,000 and accumulated depreciation of $10,000 was sold for $5,000 cash. 5. $22,000 of bonds were retired during the year at carrying (book) value. 6. Equipment was acquired for common stock. The fair value of the stock at the time of the exchange was $25,000. Instructions Prepare a statement of cash flows for the year ended 2014, using the indirect method. #2 The Joyce Corporation experienced a fire on December 31, 2015, in which its financial records were partially destroyed. It has been able to salvage some of the records and has ascertained the following balances. December 31, 2015 December 31, 2014 Cash $ 30,000 $ 10,000 Receivables (net) 85,000 125,000 Inventory 200,000 180,000 Accounts payable 50,000 90,000 Notes payable 30,000 60,000 Common stock, $100 par 400,000 400,000 Retained earnings 130,000 101,000 Additional information: 1. The inventory turnover is 4 times 2. The return on common stockholders’ equity is 20%. The company had no additional paid-in capital. 3. The accounts receivable turnover is 8.6 times. 4. The return on assets is 16%. 5. Total assets at December 31, 2014, were $685,000. Instructions Compute the following for The Joyce Corporation. (a) Cost of goods sold for 2015. (b) Net sales (credit) for 2015. (c) Net income for 2015. (d) Total assets at December 31, 2015. #3 Manufacturing cost data for Pear Corporation, which uses a job order cost system, are presented below: iPear Mini iPear Video Direct Materials Used (a) $103,000 Direct Labor $ 70,000 140,000 Manufacturing Overhead Applied 63,000 (d) Total Manufacturing Costs 240,000 (e) Work in Process, 1/1/13 (b) 45,000 Total Cost of Work in Process 300,000 (f) Work in Process, 12/31/13 (c) 40,000 Cost of Goods Manufactured 205,000 (g) Instructions Indicate the missing amount for each letter. Assume that overhead is applied on the basis of direct labor cost and that the rate is the same for both products. #4 The following information is available for Carrasco Corporation for the year ended December 31, 2014: Collection of principal on long-term loan to a supplier Acquisition of equipment for cash Proceeds from the sale of long-term investment at book value Issuance of common stock for cash Depreciation expense Redemption of bonds payable at carrying (book) value Payment of cash dividends Net income Purchase of land by issuing bonds payable $15,000 10,000 20,000 27,000 28,000 35,000 15,000 25,000 45,000 In addition, the following information is available from the comparative balance sheet for Carrasco at the end of 2013 and 2014: Cash Accounts receivable (net) Prepaid insurance Total current assets 2014 $ 66,000 20,000 18,000 $104,000 2013 $14,000 16,000 13,000 $43,000 Accounts payable Salaries payable Total current liabilities $ 30,000 3,000 $ 33,000 $20,000 7,000 $27,000 Instructions Prepare Carrasco’s statement of cash flows for the year ended December 31, 2014 using the indirect method. #5 Presented below are incomplete 2013 manufacturing cost data for Sesay Corporation. Direct Material Used Direct Labor (a) $38,00 0 $149,0 00 $53,00 0 (b) (c) Manufa cturing Overhe ad

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