Reference no: EM131528167
Question: The accounting records of Fabiano Distribution show the following assets and liabilities as of December 31, 2010 and 2011.
Late in December 2011, the business purchased a small office building and land for $225,000. It paid $120,000 cash toward the purchase and a $105,000 note payable was signed for the balance. Mr. Fabiano had to invest $35,000 cash in the business to enable it to pay the $120,000 cash. Mr. Fabiano withdraws $3,000 cash per month for personal use.
Required: 1. Prepare balance sheets for the business as of December 31, 2010 and 2011. (Hint: Report only total equity on the balance sheet and remember that total equity equals the difference between assets and liabilities.)
2. By comparing equity amounts from the balance sheets and using the additional information presented in this problem, prepare a calculation to show how much net income was earned by the business during 2011.
3. Compute the 2011 year-end debt ratio for the business.
|
Using balance column format open the ledger accounts
: Shana Shelton, the owner, invested $105,000 cash, office equipment with a value of $6,000, and $45,000 of drafting equipment to launch the company.
|
|
Explain the basic buddhist teachings
: Explain the basic Buddhist teachings, including the three marks of reality, the Four Noble Truths, and the Noble Eightfold Path
|
|
Should la roche college sell imported clothing items made
: Should La Roche College sell imported clothing items made in unhealthy and unsafe working environments in other countries?
|
|
Uncertainty associated with the demand volume
: Given the uncertainty associated with the demand volume, and no other information to work with.
|
|
Compute the year-end debt ratio for the business
: The accounting records of Fabiano Distribution show the following assets and liabilities as of December 31, 2010 and 2011.
|
|
Kirkpatrick framework of evaluation
: opic: Describe the 4 levels of evaluation that make up Kirkpatrick's framework of evaluation.
|
|
What are the key technologies needed for the success
: What are the key technologies needed for the success of your business opportunity and how will you manage these technologies?
|
|
Open the given ledger accounts
: Santo Birch opens a Web consulting business called Show-Me-the-Money and completes the following transactions in its first month of operations.
|
|
Identify one promotional strategy and advertising message
: Identify 1 promotional strategy and advertising message that you recommend to differentiate your particular brand.
|