The CFO of Green Dating Service, Inc. has just collected the following data for December 31, 2018. Write a balance sheet and an income statement. Accounts Receivable 250,000 Accounts Payable 260,000 Capital Surplus 100,000 Cash 190,000 Common Stock 300,000 Costs 640,000 Depreciation Expense 40,000 Dividends 97,500 Net Furniture & Fixtures 200,000 Goodwill 180,000 Interest Expense 50,000 Inventory 175,000 Land 305,000 Line of Credit (used) 200,000 Long Term Loan 340,000 Retained Earnings ? Sales 980,000 Tax rate 21%

Respuesta :

Answer:

Retained Earnings: $ 100.000

Explanation:

Assets  

Cash  $190.000  

Accounts Receivable  $250.000  

Net Furniture & Fixtures  $200.000  

Goodwill   $180.000  

Inventory  175.000  

Land  305.000  

TOTAL   1.300.000  

Liabilities  

Accounts Payable   260.000  

Long Term Loan   340.000  

Short Term Loan   200.000  

Equity  

Capital Surplus   100.000  

Common Stock   300.000  

Retained Earnings  100.000  

TOTAL     1.300.000  

INCOME STATEMENT

Sales  980.000  

Costs -640.000  

Depreciation Expense -40.000  

Interest Expense -50.000  

Earnings Before Taxes  250.000  

Tax RATE  -52.500  

Net Income  197.500  

Dividends : $ 97.500

Retained Earnings : $ 100.000