Respuesta :
Answer:
Ending retained earning for 2015 = $345,000
Total Assets = $645,000
Shareholder's equity = $445,000
Total liabilities = $200,000
Explanation:
a. Income Statement for the year ended 2015
Details $
Sales 800,000
Cost of Goods Sold 300,000
Gross profit 500,000
Advertising Expense (1,000)
Administrative Expenses (35,000)
Depreciation Expense (40,000)
Rent Expense (5,000)
Operating income 419,000
Interest Expense (24,000)
Income before tax 395,000
Taxation (40% * $395,000) (158,000)
Net income 237,000
Dividend paid (137,000)
Retained earning for the year 100,000
Beginning retained earning 245,000
Ending retained earning 345,000
a. Balance sheet as at the year ended 2015
Details $ $
Assets:
Beginning Net Fixed Assets 600,000
Depreciation 40,000
Ending Net Fixed Assets 560,000
Current Assets:
Cash 20,000
Accounts Receivables 20,000
Inventory 45,000
Total Assets 645,000
Shareholder's Fund:
Common Stock 100,000
Ending retained earning 345,000
Shareholder's equity 445,000
Bonds Outstanding 160,000
Accounts Payable 20,000
Accruals 20,000
Total liabilities 200,000
Total equities and Liabilities 645,000