Worldly Corporation's balance sheet at the end of 2006 included the following items:
Current assets $1,105,000
Land 30,000
Building 1,120,000
Equipment 320,000
Accum. amort. - build. (130,000)
Accum. amort. - equip. (11,000)
Patents 40,000
Total $2,474,000
Current liabilities 1,020,000
Bonds payable 1,100,000
Common shares 180,000
Retained earnings 174,000
Total $2,474,000
The following inofmration is available for 2007:
1) Net income was $391,000.
2) Equipment (cost of $20,000 and accumulated amortization of $8,000) was sold for $10,000.
3) Amortization expense was $4,000 on the building and $9,000 on equipment.
4) Patent amortization was $3,000.
5) Current assets other than cash increased by $229,000. Current liabilities increased by $213,000.
6) An addition to the building was completed at a cost of $31,000.
7) A long-term investment in shares (no quoted market value) was purhcased for $20,500.
8) Bonds payable of $75,000 were issued.
9) Cash dividends
2007-10-18
17:05:37
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2 answers
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asked by
Nathe C
1
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Other - Business & Finance