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Statement Connections
Question 1
Use the starting balance sheet, income statement, and the list of changes to answer the question.
Ruston Company
Balance Sheet
As of December 31, 2017
(amounts in thousands)
Cash
Other Assets
Total Assets
21,000 Liabilities
31,000 Equity
52,000 Total Liabilities & Equity
Ruston Company
Income Statement
January 1 to March 31, 2018
(amounts in thousands)
Revenue
3,100
Expenses
4,400
Net Income
-1,300
Between January 1 and March 31, 2018:
Note: you have to use 200 instead of 200,000 to m
1. Other Assets decrease by $200,000
2. Liabilities increase by $300,000
3. Paid-In Capital does not change
4. Dividends paid of $100,000
What is the value for Cash on March 31, 2018?
Please specify your answer in the same units as the financial statements.
Question 2
Use the income statement and the list of changes to answer the question.
Hopewell Corporation
Income Statement
January 1 to December 31, 2017
(amounts in thousands)
Revenue
6,400
Cost of Goods Sold (COGS)
1,280
Gross Income
5,120
Sales, General, & Administrative Expenses (SG&A) 640
Depreciation Expense
1,100
Other Expenses
600
Earnings Before Interest & Taxes (EBIT)
2,780
Interest
80
Pre-Tax Income
2,700
Income Taxes
1,080
Net Income
1,620
Between January 1 and December 31, 2017:
Note: you have to use 400 instead of 400,000 to m
1. Accounts Receivable decrease by $400,000
2. Accounts Payable decrease by $100,000
3. Gross Property, Plant, & Equipment increase by $7,800,000
4. Long Term Debt increases by $200,000
Assume no other changes
What is the Net Cash Flow?
Please specify your answer in the same units as the income statement.
Question 3
Use the starting balance sheet and statement of cash flows to answer the question.
Gulf Shipping Company
Balance Sheet
As of December 31, 2017
(amounts in thousands)
Cash
Accounts Receivable
Inventory
Property Plant & Equipment, Gross
Accumulated Depreciation
Property Plant & Equipment, Net
Other Assets
Total Assets
143,000
41,000
58,000
210,000
62,000
148,000
7,000
397,000
Accounts Payable
Debt
Other Liabilities
Total Liabilities
Paid-In Capital
Retained Earnings
Total Equity
Total Liabilities & Equity
Gulf Shipping Company
Statement of Cash Flows
January 1 to March 31, 2018
(amounts in thousands)
Net Income
6,800
Depreciation
1,300
Decrease (Increase) in Accounts Receivable
200
Decrease (Increase) in Inventory
-700
Increase (Decrease) in Accounts Payable
500
Other Adjustments
0
Net Cash Flow from Operating Activities
8,100
Purchase of Property, Plant, & Equipment
-8,500
Other Adjustments
0
Net Cash Flow from Investing Activities
-8,500
Increase (Decrease) in Debt
900
Dividends
-600
Other Adjustments
0
Net Cash Flow from Financing Activities
300
Net Cash Flow
-100
What is the value for Total Liabilities & Equity on March 31, 2018?
Please specify your answer in the same units as the financial statements.
Question 4
Use the balance sheets and information provided about revenue and expenses to answer the question
Siam Traders
Balance Sheet
As of December 31, 2017
(amounts in thousands)
Cash
Accounts Receivable
Inventory
Property Plant & Equipment, Gross
Accumulated Depreciation
Property Plant & Equipment, Net
Other Assets
Total Assets
91,000
44,000
48,000
234,000
78,000
156,000
26,000
365,000
Accounts Payable
Debt
Other Liabilities
Total Liabilities
Paid-In Capital
Retained Earnings
Total Equity
Total Liabilities & Equity
Siam Traders
Balance Sheet
As of March 31, 2018
(amounts in thousands)
Cash
96,000 Accounts Payable
Accounts Receivable
45,000 Debt
Inventory
38,000 Other Liabilities
Property Plant & Equipment, Gross
234,000 Total Liabilities
Accumulated Depreciation
78,700 Paid-In Capital
Property Plant & Equipment, Net
155,300 Retained Earnings
Other Assets
25,000 Total Equity
Total Assets
359,300 Total Liabilities & Equity
Revenue and expenses information from January 1 to March 31, 2018 were:
Note: you have to use 9,600 instead of 9,600,000 to make it same units as
Sales Revenue of $9,600,000
COGS of 35% of Sales
Interest of $160,000
Other Expenses of $400,000
SG&A of $1,920,000
Tax Rate of 34%
What is the net income in the first quarter of 2018?
Please specify your answer in the same units as the balance sheets and round your answer to the nea
T-Accounts
Question 1
st of changes to answer the question.
25,000
27,000
52,000
you have to use 200 instead of 200,000 to make it same units as the income statement and same thing for the following amounts
statements.
the question.
you have to use 400 instead of 400,000 to make it same units as the income statement and same thing for the following amounts
o answer the question.
19,000
32,000
40,000
91,000
77,000
229,000
306,000
397,000
statements.
nue and expenses to answer the question.
19,000
24,000
6,000
49,000
69,000
247,000
316,000
365,000
25,000
23,300
-6,720
41,580
69,000
248,720
317,720
359,300
31, 2018 were:
nstead of 9,600,000 to make it same units as the income statement and same thing for the following amounts
sheets and round your answer to the nearest integer.