Reference no: EM131197957
Transactions; financial statements
Bev's Dry Cleaners is owned and operated by Beverly Zahn. A building and equipment are currently being rented, pending expansion to new facilities. The actual work of dry cleaning is done by another company at wholesale rates. The assets, liabilities, and capital stock of the business on November 1, 2014, are as follows: Cash, $39,000; Accounts Receivable, $80,000; Supplies, $11,000; Land, $50,000; Accounts Payable, $31,500; Capital Stock, $50,000. Business transactions during November are summarized as follows:
a. Beverly Zahn invested additional cash in exchange for capital stock with a deposit of $21,000 in the business bank account.
b. Purchased land adjacent to land currently owned by Bev's Dry Cleaners to use in the future as a parking lot, paying cash of $35,000.
c. Paid rent for the month, $4,000.
d. Charged customers for dry cleaning revenue on account, $72,000.
e. Paid creditors on account, $20,000.
f. Purchased supplies on account, $8,000.
g. Received cash from cash customers for dry cleaning revenue, $38,000.
h. Received cash from customers on account, $77,000.
i. Received monthly invoice for dry cleaning expense for November (to be paid on December 10), $29,450.
j. Paid the following: wages expense, $24,000; truck expense, $2,100; utilities expense, $1,800; miscellaneous expense, $1,300.
k. Determined that the cost of supplies on hand was $11,800; therefore, the cost of supplies used during the month was $7,200.
l. Paid dividends, $5,000.
Instructions
1. Determine the amount of retained earnings as of November 1.
2. State the assets, liabilities, and stockholders' equity as of November 1 in equation form similar to that shown in this chapter. In tabular form below the equation, indicate increases and decreases resulting from each transaction and the new balances after each transaction.
3. Prepare an income statement for November, a retained earnings statement for November, and a balance sheet as of November 30.
4. (Optional). Prepare a statement of cash flows for November.
|
Models of economics
: Create a chart that compares and contrasts the theories including the main theorists, a selection of countries using each model, and a summary of where the economic power lies (i.e., people, market, government).
|
|
International monetary fund website
: Visit the International Monetary Fund website, located at http://www.imf.org/external/index.htm, Compare and contrast two (2) advantages and two (2) disadvantages of utilizing international economic policy coordination for the world's financial sy..
|
|
How would you define evm
: In a paper, provide a detailed explanation of how the knowledge gained in this course provided you with an understanding of a critical component of project management: EVM, financial and costing management techniques. How would you define EVM, fin..
|
|
Analyze the organizational structure and culture of company
: Analyze the organizational structure and culture of the company your chosen executive has led, or is currently leading, and determine the company's approach to human capital management and employee development.
|
|
Determine the amount of retained earnings as of november 1
: Determine the amount of retained earnings as of November 1.--- Prepare a statement of cash flows for November.
|
|
Consider the demand for coal with quantities in tons
: Consider the demand for coal with quantities in tons. When the price of coal decreases from $60 to $50, the quantity of coal demanded increases from 400 to 500 tons. Similarly the price of coal increases from $70 to $90, the quantity of coal demand d..
|
|
Selection of countries using each model
: Create a chart that compares and contrasts the theories including the main theorists, a selection of countries using each model, and a summary of where the economic power lies (i.e., people, market, government).
|
|
Which projects have a higher expected return
: Which projects have a higher expected return than the firm's 11 percent cost of capital?- Which projects should be accepted?
|
|
What is the deadweight loss
: If Sarah sells all her bread at the same price, what is the Deadweight loss created by the bread market?
|