Shown below is an income statement for 2016 that was prepared by


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Can i have some assistance on the attached questions. There are 17 problems total. Week 8.docx Shown below is an income statement for 2016 that was prepared by a poorly trained bookkeeper of Hutton Corporation (not Hutton’s son). Hutton Corporation Income Statement December 31, 2016 Sales revenue Investment revenue Cost of merchandise sold Selling expenses Administrative expense Interest expense Income before special items Special items Loss on disposal of a component of the business Net federal income tax liability Net income $945,000 19,500 (408,500) (145,000) (285,000) (13,000) 113,000 (30,000) (24,900) $58,100 Instructions: Prepare a multiple-step income statement, in good form, for 2016 for Hutton Corporation that is presented in accordance with generally accepted accounting principles (including format and terminology). Hutton Corporation has 25,000 shares of common stock outstanding and has a 30% federal income tax rate on all tax related items. Round EPS values to the nearest cent. 2: 15 points —Balance sheet presentation. The following balance sheet was prepared by the bookkeeper for Moyano Company as of December 31, 2016. Moyano Company Balance Sheet as of December 31, 2016 Cash Accounts receivable (net) Inventories Investments Equipment (net) Patents $80,000 52,200 57,000 76,300 96,000 32,000 $393,500 Accounts payable Long-term liabilities Stockholders’ equity $75,000 100,000 218,500 $393,500 The following additional information is provided: a. Cash includes the cash surrender value of a life insurance policy $9,400, and a bank overdraft of $2,500 has been deducted. b. The net accounts receivable balance includes: (1) accounts receivable—debit balances $60,000; (2) accounts receivable—credit balances $4,000; (3) allowance for doubtful accounts $3,800. c. Inventories do not include goods costing $3,000 shipped out on consignment. Receivables of $3,000 were recorded on these goods. d. Investments include investments in common stock, trading $19,000 and available-for-sale $48,300, and franchises $9,000. e. Equipment costing $5,000 with accumulated depreciation $4,000 is no longer used and is held for sale. Accumulated depreciation on the other equipment is $40,000. Instructions: Prepare a balance sheet in good form (omit stockholders’ equity details.) 3: 6 points —FIFO and LIFO inventory methods. During June, the following changes in inventory item 27 took place: June 1 Balance 1,400 units @ $24 14 Purchased 800 units @ $36 24 Purchased 700 units @ $30 8 Sold 400 units @ $55 10 Sold 1,000 units @ $60 29 Sold 500 units @ $55 Instructions: What is the cost of the ending inventory for item 27 under the following methods? (Show calculations.) Perpetual inventories are maintained. a. FIFO. $______________ Calculation: b.LIFO. $_______________ Calculation: 4: 6 points —FIFO and LIFO periodic inventory methods. The Pine Shop shows the following data related to an item of inventory: Inventory, January 1 100 units @ $5.00 Purchase, January 9 300 units @ $5.40 Purchase, January 19 70 units @ $6.00 Inventory, January 31 120 units Instructions a. What value should be assigned to the ending inventory using FIFO? $__________ Calculation: b. What value should be assigned to cost of goods sold using LIFO? $____________ Calculation: 5: 8 Points —Gross profit method. Reese Co. prepares monthly income statements. Inventory is counted only at year end; thus, month-end inventories must be estimated. All sales are made on account. The rate of mark-up on cost is 20%. The following information relates to the month of May. Accounts receivable, May 1 Accounts receivable, May 31 Collections of accounts during May Inventory, May 1 Purchases during May $21,000 27,000 90,000 45,000 58,000 Instructions: Calculate the estimated cost of the inventory on May 31.______________ 6: 10 points —Calculate depreciation. A machine cost $500,000 on April 1, 2016. Its estimated salvage value is $50,000 and its expected life

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