Purchased equipment costing 65000 by making a cash down

Assignment Help Accounting Basics

Reference no: EM13596635

• Porter Corporation reported the following transactions for 2011:
1. Sold equipment for $7,000. The original cost was $15,000; the book value is $6,000
2. Issued 2,000 shares of $5 par value common stock for $12 per share
3. Paid $3,000 for an Insurance policy which goes into effect in January 2012
4. Recognized $2,000 in Interest expense on Dec 31, 2011 - to be paid on April 30, 2012
5. Received $8,000 as collections from customers for 2010 sales, and $18,000 for 2011 sales
6. Reacquired 300 shares of its own common stock at $20 per share
7. Received $2,000 in dividends on stock held as available for sale
8. Recorded depreciation expense for $5,000
9. Paid $1,000 of dividends to common stockholders
10. Purchased equipment costing $65,000, by making a cash down payment of $20,000 and signing a note for the remaining $45,000.
11. Acquired a building with a market value of $250,000 by issuing 20,000 shares of common stock.
12. Paid salaries of $18,000
13. Cash received from sale of available for sale securities $6,000
14. Repaid a loan, which included $5,000 of the principal and $1,000 in interest

Porter Corporation uses the direct method for preparing the 2011 Statement of Cash Flows.

Reference no: EM13596635

Questions Cloud

Suppose you could by a piece of software that is projected : suppose you could by a piece of software that is projected to increase profits by 5000year. the software costs 12000

Thomas company has total fixed costs of 360000 and variable : thomas company has total fixed costs of 360000 and variable costs of 14 per unit. if the unit sales price is reduced

Ranch company estimates warranty expense as 5 of sales on : 1.on january 1 2012 vandell inc. purchased a new machine for 96000. its estimated useful life is 16 years with an

Te company decides to apply overhead to products using : battle creek storage systems budgeted the following factory overhead costs for the upcoming year to help variable and

Purchased equipment costing 65000 by making a cash down : bull porter corporation reported the following transactions for 2011 1. sold equipment for 7000. the original cost was

Ollies olive oil began business in 2010 during which it : ollies olive oil began business in 2010 during which it produced 104000 quarts of olive oil. in 2010 the company sold

Destin deals estimates its uncollectible accounts by aging : destin deals estimates its uncollectible accounts by aging its accounts receivable and applying percentages to various

On january 1 2008 jeremiah corporation had 40000 of 12 par : on january 1 2008 jeremiah corporation had 40000 of 12 par value common stock outstanding. on june 1 2008 jeremiah

The johnsons have accumulated a nest egg of 15000 that they : the johnsons have accumulated a nest egg of 15000 that they intend to use as a down payment toward the purchase of a

User Account

All Pages