Reference no: EM132465758
The following figures are taken from the records of Jazz, Inc.:
Retained earnings, January 1, 2017 ......... $115,000
Net sales .................................. ....................590,000
Interest expense ........................... ............5,000
General and administrative expenses ........ 95,000
Cost of goods sold .................................... 220,000
Accounts receivables.. ............... ...............270,000
Allowance for bad debt . ........................... 4,000
Selling expenses ......................................105,000
Dividends declared & paid in 2017 ..........25,000
Prepaid rent expense ................................19,250
Bad debt expense .................................... 7,000
Loss from sale of Equipment ................... 6,000
Income tax .............................................. 3,000
Unearned revenues ................................ 60,000
Accumulated Depreciation.. .................... 13,000
Required:
Question a) Calculate the net income for the year 2017 and find the balance of retained earnings on Dec. 31, 2017.
Question b) Determine the total current assets of Jazz, Inc. as of Dec. 31, 2017