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Dispensers of California PDF
Dispensers of California PDF
Dispensers of California PDF
Assets =
1a
1b
2
3
Hynes investment
Other investors
Incorporation costs
Equipment purchase
4
5
Redesign costs
Component parts purchase
Bank loan
Bank loan repaid
Loan interest
Manufacturing payroll
Other manufacturing costs
Selling general and administration
Ending inventory (cost of goods sold) *
Sales
Incorporation and redesign costs (expenses as
incurred)
Depreciation
Patent amortization
Ending work-in-progress and completed
inventory (none) (cost of goods sold)**
Dividends
Income Taxes
7
8
9
10
11
12
13
14
15
16
17
$0
212,100
212,100
15,100
197,000
+ Patent $120,000
+ Cash 80,000
- Cash $2,500
-Cash $85,000
+ Equipment 85,000
- Cash $25,000
+ Inventory $212,100
- Cash 212,100
+ Cash $30,000
- Cash 30,000
- Cash 500
- Cash $145,000
- Cash 62,000
- Cash $63,000
- Inventory $197,000
+ Cash $598,500
See 2 and 4
Liabilities
Equity
+ Common Stock $120,000
+ Common Stock 80,000
- Retained earnings $2,500
- Equipment $8,500
- Patent $20,000
See 5, 7, 8, 10 and 13
- Cash $5,000
+Taxes payable $22,500
**Component parts used
Manufacturing payroll
Other manufacturing costs
Depreciation
Cost of goods sold
$197,000
145,000
62,000
8,500
412,500
Sales
Cost of goods sold
Components
Mfg payroll
Other Mfg.
Depreciation
Gross margin
Selling, general and
Administration
Patent
Redesign costs
Incorporation costs
Operating profit
Interest
Profit before taxes
Tax expense
Net Income
$598,500
$197,000
145,000
62,000
8,500
412,500
$186,000
63,000
20,000
25,000
2,500
$75,500
500
$75,000
22,500
$52,500
Assets
Cash
Components inventory
Current assets
Equipment (net)
Patent (net)
$78,400
15,100
$93,500
76,500
100,000
___
$270,000
Liabilities
Taxes payable
Current liabilities
Owners Equity
Capital stock
Retained earnings
$22,500
$22,500
$200,000
47,500
$270,000
$0
52,500
(5,000)
$47,500
Cash Reconciliation
Receipts
Disbursements
Ending Balance
$708,500
630,100
$78,400
Receipts
$80,000
Disbursements
$2,500
85,000
25,000
212,100
30,000
30,000
500
145,000
62,000
63,000
598,500
$708,500
5,000
$630,100
$598,500
(212,100)
(295,000)
(2,500)
(500)
$89,400
(85,000)
$(85,000)
30,000
(30,000)
80,000
(5,000)
$75,000
$78,400
0
$78,400