The following information was extracted from the records of Rolex Limited for the financial year ended 31 December 2021.
Q: Could you explain the relationship between money, credit, and financial institutions
A: Money is the center of the universe. Money is being used to buy and sell goods and services..…
Q: The following is a record of Pervis Ellison Company's transactions for Boston Teapots for the month…
A: Introduction: When calculating the cost of maintaining inventory, organisations might use one of…
Q: NOPAT 8250000 EBITDA 17725000 Net Income 5050000 Capital Expenditures 6820000 After tax capital…
A: Net profit before tax: = Net income ÷ (1 -Tax rate)
Q: Average inventory = P75,000 Annual sales = P600,000 Annual cost of goods sold = Average accounts…
A: The ratio analysis helps to analyze the financial statements of the business with various elements…
Q: Use the following information to calculate the change in value that would result i achieved for this…
A: Change in net operating income would change the value added that is according to the capitalization…
Q: lowing data to determine the total dolar amount of assets to be classified a property, plant, and…
A: Introduction:- Property plant equipment includes all tangible assets. Property plant equipment does…
Q: Ben Corporation is deciding whether to pursue a restricted or relaxed working capital investment…
A: Times Interest Earned ratio is a measure of a company abilitybto meet out its debt (Interest…
Q: The Company provided the following financial information: Assets 17.250.800.00 Tax rate 35% BEP…
A: TIE RATIO : = Earnings before interest, taxes, Depreciation & Amortization (EBITDA) ÷ Interest…
Q: Use the information in the table below to answer the questions that follow. April 1 Inventory 100…
A: Ending Inventory=Units available-Units Sold×Cost per unit
Q: ASSIMILATION You and your two friends have put up a small editorial service company. As the only…
A: Trial balance means the statement prepared from ledger account where all debit and credit balance…
Q: total wine sa Calculate the WET payable and complete the BAS extract Summary
A: WET is the acronym of wine equalization tax which is charged on the supply of wines it is a sort of…
Q: tax liabilit
A: Tax liability refers to the amount which is charged on the income of an individual, company, etc.…
Q: Accepting Business at a Special Price Power Serve Company expects to operate at 82% of productive…
A: Direct material- Direct material is the physical items built into a produce. For example, the direct…
Q: Problem 20-6 (IAA) On January 1, 2021, Judy Company had 200,000 P50 par value ordinary shares…
A: The earning per share means the earning of the shareholder on each share. To calculate earnings per…
Q: Problem 3: A certain machine costs P 40,000, has a life of 4 years and salvage value of P 5,000. The…
A: Formula: Depreciation per unit = ( Asset cost - Salvage value ) / Total estimated Units. Deduction…
Q: What is the capital components. breifly define.
A: Introduction: The Weighted Average Cost of Capital (WACC) of a company shows its overall cost of…
Q: 43 The trial balance for Greenway Corporation appears as follows Greenway Corporation Trial Balance…
A: Adjusting entries are prepared by management to ensure the accrual basis accounting system. These…
Q: Question 3: Prepare acquisition analysis and Consolidation worksheet entries
A: Prepare Acquisition Analysis at 1 July 2020 During the pre-acquisition, inventories were 15,600 and…
Q: Discuss the difference in Accrual and Cash Basis for accounting.
A: In this question, we are required to mention the difference between cash basis and accrual basis of…
Q: E7.9 (LO 3) (Computing Bad Debts and Preparing Journal Entries) The trial balance before adjustment…
A: Allowance for doubtful accounts means where we expect some debts to become bad in near future then…
Q: What are the entries that reflect ABC Corporation’s transactions for the years 2015 and 2016?
A: cash payment = 1000000*111.5% + 1000000*15%*2/12 = 1140000 loss = 1200000-1110401= 9599
Q: Funds for replacement is provided by depreciation ________ 8. If adequate maintenance is incurred,…
A: 7.Funds for replacement is provided by depreciation Answer: True Explanation: Depreciation provides…
Q: Data table Static budget variable overhead 7,800 Static budget fixed overhead %24 3,900 Static…
A: Variance analysis involves computing of the deviations by comparing the actual and estimate data and…
Q: 5. Which of the pairings below related to measurement focus and basis of accounting IS correct for…
A: Measurement focus is on financial resources and correct basis of accounting is accrual.
Q: Portia Grant is an employee who is paid monthly. For the month of January of the current year, she…
A: Net pay is the amount of compensation that remains available for distribution to an employee after…
Q: Net gift Philippines: Php 600,000 Net gift USA: US$ 10,000 (Exchange rate Php 45.00: US$ 1.00) Net…
A: Solution: Net Gift
Q: Accounting Explain five actions the audit firm would take as part of the client screening process,…
A: An audit is an inspection or inspection of various ledgers by a certified accountant, followed by a…
Q: The Golden Mushroom has two classes of stock authorized: 9%, $10 par preferred, and $1 par value…
A: The source of a corporation's assets, the shareholders' remaining claim on a corporation's assets…
Q: 27. LO.2 (WA EUP; cost per WA EUP) BeGone manufactures spray cans of insect repel- lent. On August…
A: Given: - 1) begining WIP inventory =9,800 2) units started into production=81,500 3) units to…
Q: Jefferson Memorial Hospital is an investment center as a division of Hospitals United. During the…
A: Introduction: Residual income might assist your company in setting reasonable objectives and…
Q: The following financial information was provided by Anya Company: Net Income 8,255,000.00 NOPAT…
A: Formulas: Sales = Net income / Net Profit Margin Earnings before tax = Net income / (1 - tax rate)…
Q: Salt Corporation's contribution margin ratio is 75% and its fixed monthly expenses are $55,000.…
A: Formula: Net operating income = Contribution margin value - Fixed expenses. Deduction of fixed…
Q: QUESTION 4 Euroco is a foreign corporation that manufactures watches for sale worldwide. Euroco…
A: Dividend equivalent amount means that amount of dividend paid on the particular shares, when a…
Q: Robert Company purchased a new machine for P8,000,000 on January 1, 2022 for the purpose of leasing…
A: Operating Profit- The profit made by an organization from its normal business operations is referred…
Q: Tax Due Under OSD and Itemized Deductions Problem For 2021, Lili Corp., a domestic corporation, has…
A: Step 1: A deduction is a reduction in the taxable income of an individual taxpayer or corporation…
Q: Norm and Linda are married, file a joint return, and have one 5 year old child. Their AGI is…
A: Total tax is the sum of all taxes owed by a taxpayer for the year in the context of personal income…
Q: Reliable Enterprises sells distressed merchandise on extended credit terms. Collections on these…
A: Revenue recognition criteria provides as under: There exist an arrangement between the buyer and…
Q: X and Y form the XY Partnership. X has a 60 percent interest in capital, profits, and losses; Y has…
A: Partnership business is the one which involves sharing of profits and losses by two or more persons…
Q: The following are the financial information of Kerung company: NOPAT…
A: Formula: Economic value added (EVA) = Net operating profit after tax - Total invested capital x WACC…
Q: Exercise E Analysis of Hair Care Company's citrus hair conditioner reveals that it is losing $5,000…
A: The gap between revenues and expenses is referred to as net income. This number, together with gross…
Q: Which of the following items are included in the computation of a sole proprietorship's taxable…
A: Taxable income of a Sole proprietor is calculated after taking into account all income earned,…
Q: 22. Mr. and Mrs. Ramirez have 4 children and have decided that they need a bigger house. They intend…
A: Interest Rate- The interest rate is the sum a lender charges a borrower and is a proportion of the…
Q: The contribution margin per unit is P5, while the direct fixed costs are P30,000 and the allocated…
A: The break-even formula is calculated by dividing the total fixed costs associated with production by…
Q: Which of the following statements regarding The New York Home Business Endorsement (HO 07 01) is…
A: Home Business Insurance Coverage (HO 07 01) The unendorsed homeowners form excludes or limits most…
Q: em 3 aurnalize the following transactions: cash at $12 per share. Journal entry: Journal entry: 3.…
A: Issue of Shares: Shares that have been issued are those that the owners have elected to sell in…
Q: A qualified distribution from a Roth IRA must meet which of the following requirements? I. The…
A:
Q: Refer to the following financial information of Scholz Company: NOPAT 8.250.000.00 EBITDA…
A: Formula: Economic value added (EVA) = Net operating profit after tax - Total invested capital x WACC…
Q: (a) Create a balance sheet in horizontal style for XYZ Company using the information given in Table…
A: Balance sheet is one of the statement of financial position which shows all assets, all liabilities…
Q: Why do entrepreneurs need to begin from the users’ or customers’ hidden needs when they are about to…
A: The entrepreneurs wants to start the business and the business which has been started by the…
Q: An individual who has automobile insurance from a certain company is randomly selected. Let Y be the…
A: pmf stands for Probability mass function and is one of the most important tools in statistics
Additional information:
* All purchases of inventories are on credit
* The selling and administrative expenses include
* Property, plant and equipment were purchased during the year but there were no disposals
* The total dividends for the year ended 31 December 2021 amounted to R360 000
* The issued share capital consisted of 100 000 ordinary shares
* The market price of the shares on 31 December 2021 was R35
Step by step
Solved in 2 steps with 2 images
- Use the information provided below to prepare the Cash Flow Statement of Rolex Limited for the year ended 31December 2021.INFORMATIONThe following information was extracted from the records of Rolex Limited for the financial year ended 31 December2021.ROLEX LIMITEDSTATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2021RSales 4 140 000Cost of sales (2 020 000)Gross profit 2 120 000Selling and administrative expenses (840 000)Operating profit 1 280 000Interest expense (80 000)Profit before tax 1 200 000Company tax (320 000)Profit after tax 880 000STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER:ASSETS 2021 (R) 2020 (R)Non-current assets 3 740 000 2 940 000Property, plant and equipment 3 440 000 2 940 000Investments 300 000 0 Current assets 1 080 000 900 000Inventories 480 000 500 000Accounts receivable 510 000 320 000Cash and cash equivalents 90 000 80 000Total assets 4 820 000 3 840 000EQUITY AND LIABILITIESEquity 3 120 000 2 600 000Ordinary share capital 2 000 000 2…Use the information provided below to prepare the Cash Flow Statement of Umhlali Limited for the year ended 31 December 2020.INFORMATIONThe following Information was extracted from the records of Umhlali Limited for the past two years:STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER:2020 (R)2019 (R)Sales1 856 0001 200 000Cost of sales(1 280 000)(750 000)Gross profit576 000450 000Operating expenses(291 200)(212 000)Depreciation30 00026 000Other operating expenses261 200186 000Operating profit284 800238 000Interest on mortgage loan(24 000)(72 000)Profit before tax260 800166 000Company tax(90 240)(58 100)Profit after tax170 560107 900vmcInformation extracted from the Statement of Financial Position for the past two years:STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER:2020 (R)2019 (R)ASSETSNon-current assets2 464 1602 444 000Fixed assets2 464 1602 444 000Current assets356 000336 000Inventories (all Trading inventory)120 000250 000Accounts receivable40 00064 000Cash &…Use the information provided below to prepare the Cash Flow Statement of HarmonyLimited for the year ended 31 December 2020.INFORMATIONThe information provided below was extracted from the accounting records of Harmony Limited on 31 December 2020:Harmony LimitedExtract of Statement of Comprehensive Income for the year ended 31 December 2020RSales 6 600 000Cost of sales (3 900 000)Gross profit 2 700 000Operating expenses (1 710 000)Selling and administrative expenses 1 260 000Depreciation 450 000Operating profit 990 000Interest expense (270 000)Profit before tax 720 000Company tax (240 000)Profit after tax 480 000Extract of Statement of Changes in Equity for the year ended 31 December 2020RetainedearningsRBalance on 01 January 2020 1 500 000Profit after tax 480 000Dividends paid and proposed in 2020 (180 000)Balance on 31 December 2020 1 800 000Balances extracted from the Statement of Financial Position as at 31 December:2020 2019R RPlant and equipment 3 750 000 3 000 000Investments 210…
- QUESTION REQUIRED Use the information provided below to prepare the Cash Flow Statement of Jonah Ltd for the year ended 31 December 2022. (Some of the figures have already been entered in the answer book.) INFORMATION The Statement of Comprehensive Income of Jonah Ltd for the year ended 31 December 2022 and Statement of Financial Position as at 31 December 2021 and 2022 are as follows: STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2022 Sales Cost of sales Gross profit Other operating income Gross income Distribution expenses Administrative expenses Earnings before interest and tax Interest income Interest expense Esmings before tax Company tax Earnings after interest and tax STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER: ASSETS Non-current assets Land and buildings Plant and machinery Current assets Inventories Accounts receivable Total assets EQUITY AND LIABILITIES Equity Ordinary share capital Retained earnings Non-current liabilities Long-term borrowings…REQUIRED Study the statement of cash flows of Mantis Limited for the year ended 31 December 2021 and answer the following questions: Calculate the following for the year ended 31 December 2021: Depreciation Dividends paid Of what significance is this statement of cash flows to the shareholders of Mantis Limited? Comment on the following: Cash flows from operating activities (R181 800) 1.3.2. Increase in inventory (R808 000) Increase in receivables (R606 000) Interest paid (R80 800) Cash flows from investing activities (R2 343 200) INFORMATION MANTIS LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2021 R Cash flows from operating activities (181 800) Operating profit 979 700 Depreciation ? Profit before working capital changes ? Working capital changes (808 000) Increase in inventory (808 000) Increase in receivables…Using the financial statements and additional information below, prepare a cash flow statement for Papa Ltd for the year ended 31st December 2018 using the indirect method of calculating operating cash flow and write a brief comment on the cash flow for the period. Papa Ltd Statement of Profit or Loss Account for the year ended 31st December 2018 GHC Revenue 540,000 Cost of sales (155,000) Gross profit 385,000 Investment income – interest received 15,000 Loss on disposal of equipment (18,000) Depreciation (94,000) Administrative and selling expenses (25,000) Operating profit before interest 263,000 Interest expense (10,000) Profit before taxation 253,000 Taxation (56,000) Profit after tax 197,000 Statement of financial position as at 31st December 2018 2017 GHC GHC Non-current assets Vehicle at cost 180,000 150,000 Accumulated depreciation (137,000)…
- Required:Prepare Cashflow Statement for the year ended 31 December 2020 using the direct method. The following is an extract from the financial statements of Thandeka (Pty) Ltd for the year ended 31December 2021. Turnover (Sales) 702000 Cost of sales 390000 Gross profit 312000 Other income 2250 Operating expenses 164250 Operating profit 150000 Dividends received 18750 Profit before taxation 168750 Taxation 52500 Dividends 30000 Retained income for the year 86250 Retained income at the beginning of the year 48150 Retained income at the end of the year 134400 Thandeka (Pty) Ltd Statement of Financial Position as at 31 December 2021. ASSETS 2021 2020 Non-current assets 340 500 228 000 Land and buildings 178 500 127 500 Plant and equipment at carrying value 76 500 19 500 Listed investment 85 500 81 000 340 500 228 000 Current assets 181 650 129 750 Inventories 66 150 41 250 Trade debtors 110 250 78 750 Cash and…Question: The following selected data for ABC Corporation for the year ended December 31, 2020, is available to you for preparing the cash flow statement: Cost of goods sold $56,500 Sales revenue $97,300 Amortization expense 14,100 Interest revenue 4,100 Income tax expense 2,300 Dividend revenueUse the information provided below to prepare the Cash Flow Statement of Alto Limited for the year ended 31 December 2022. INFORMATION The following amounts were obtained from the Statement of Comprehensive Income for the year ended 31 December 2022 and Statement of Financial Position of Alto Limited as at 31 December 2022 and 31 December 2021: Sales Cost of sales Depreciation Operating profit Interest expense Company tax for the year Property, plant and equipment (carrying value) Long-term investments Inventories Accounts receivable Prepaid expenses Cash and cash equivalents Ordinary share capital (All shares issued at R10 each) Retained earnings Non-current liabilities Accounts payable Accrued expenses Dividends payable Company tax payable 31 Dec 2022 R 11 000 000 6 500 000 750 000 1 650 000 450 000 400 000 6 250 000 350 000 2 150 000 1 700 000 200 000 500 000 3 100 000 3 000 000 3 600 000 1 100 000 100 000 200 000 50 000 31 Dec 2021 R Note: ■ Dividends paid and recommended during…
- Summary financial information for Skysong Corporation for the year ended July 1, 2021 is listed below: Profit $297000 Depreciation expense 34000 Beginning inventory 97000 Ending inventory 00069 Cost of goods sold 41000 Interest expense 139000 Income tax expense 76000 Operating profit 454000 Cash provided by operating activities 345000 Dividends paid 54000 Cash used by investing activities 128000 Skysong's free cash flow for 2021 is O $115000. O $546000. O $169000. O $217000.Swifty Ltd. had the following 2023 income statement data: Revenues Expenses 1/1/23 Revenues $113,000 In 2023, Swifty had the following activity in selected accounts: 12/31/23 49,200 $63,800 Accounts Receivable 19,100 113,000 34,780 1,320 Write-offs 96,000 Collections Allowance for Expected Credit Losses Write-offs 1.320 Swifty Ltd. Statement of Cash Flows (Indirect Method) 1,300 1.540 1.520 1/1/23 Loss on impairment 12/31/23 Prepare Swifty's cash flows from operating activities section of the statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a negative sign e.g. -10,000 or in parenthesis eg. (10,000).s17-7 Prepare the operating section of Preston Media Corporation's 2020 cash flow statement using the indirect method. Use the comparative balance sheet provided and the following selected fiscal 2020 income statement information: • Net income, $19,000 Amortization expense, $11,000 PRESTON MEDIA CORPORATION Balance Sheet March 31, 2020 and 2019 Assets 2020 2019 Current assets Cash $ 5,000 $ 3,900 Accounts receivable 9,600 5,100 Company vehicle Less: Accumulated amortization-company vehicle 105,350 84,350 29,350 18,350 Total assets $90,600 $75,000 Liabilities Current liabilities Accounts payable $8,000 $ 4,500 Long-term liabilities Notes payable 9,000 12,000 Total liabilities 17,000 16,500 Shareholders' Equity Common shares 27,000 23,000 Retained earnings 46,600 35.500 Total shareholders equity Total liabilities and shareholders' equity 73,600 590,600 58,500 $25,000