Homework Help is Here – Start Your Trial Now!
Business
Finance
Garnet Company, Inc. Comparative Statements of Financial Position As of the year ended December 31, 2022 Assets Cash 2022 2021 P 94,190.00 P Accounts receivable Inventory Prepaid expenses 55,400.00 131,000.00 62,700.00 70,400.00 154,000.00 34,152.00 19,860.00 Total current assets 314,742.00 306,960.00 Land 157,500.00 157,500.00 Equipment 225,750.00 192,500.00 Accumulated depreciation - Equipment 75,125.00 48,125.00 Buildings 275,000.00 275,000.00 Accumulated depreciation - Buildings 82,550.00 68,750.00 Total 815,317.00 P 815,085.00 Liabilities and Equity Accounts payable Long-term notes payable Ordinary shares, P5 par value Share Premium Accumulated Profits and Losses Treasury shares Total 41,800.00 47,250.00 270,000.00 360,000.00 ? 150,000.00 ? 56,415.00 ? 250,500.00 ? 49,080.00 ? 815,085.00 Sales for 2022 were P503,950 and cost of goods sold was 60% of sales. Furthermore, depreciation for the year was P48,400 and other expenses was P73,100. During the year, equipment costing P19,000 with accumulated depreciation P7,600 (already included in the total depreciation of P48,400) at the time sale was sold for P12,580 cash. Additionally, new equipment was bought during the year. The corporate tax rate was 25%, and Garnet pays 40% of its after tax profits as dividends. During the year Garnet issued ordinary shares with a par value of P47,300 for P71,545. The decrease in the notes payable represents the installment payment made for this year. P12,430 worth of shares were re-acquired by the company. Given this information, construct the firm's 2022: 1) Compute for Garnet, Inc.'s profit after income tax for the year 2022. 2) Compute for the amount of dividends paid by Garnet, Inc. during the year. 3) Construct Garnet, Inc.'s Statement of Shareholders' Equity for the year 2022. 4) Construct Garnet, Inc.'s Statement of Cash Flows for the year 2022.

Garnet Company, Inc. Comparative Statements of Financial Position As of the year ended December 31, 2022 Assets Cash 2022 2021 P 94,190.00 P Accounts receivable Inventory Prepaid expenses 55,400.00 131,000.00 62,700.00 70,400.00 154,000.00 34,152.00 19,860.00 Total current assets 314,742.00 306,960.00 Land 157,500.00 157,500.00 Equipment 225,750.00 192,500.00 Accumulated depreciation - Equipment 75,125.00 48,125.00 Buildings 275,000.00 275,000.00 Accumulated depreciation - Buildings 82,550.00 68,750.00 Total 815,317.00 P 815,085.00 Liabilities and Equity Accounts payable Long-term notes payable Ordinary shares, P5 par value Share Premium Accumulated Profits and Losses Treasury shares Total 41,800.00 47,250.00 270,000.00 360,000.00 ? 150,000.00 ? 56,415.00 ? 250,500.00 ? 49,080.00 ? 815,085.00 Sales for 2022 were P503,950 and cost of goods sold was 60% of sales. Furthermore, depreciation for the year was P48,400 and other expenses was P73,100. During the year, equipment costing P19,000 with accumulated depreciation P7,600 (already included in the total depreciation of P48,400) at the time sale was sold for P12,580 cash. Additionally, new equipment was bought during the year. The corporate tax rate was 25%, and Garnet pays 40% of its after tax profits as dividends. During the year Garnet issued ordinary shares with a par value of P47,300 for P71,545. The decrease in the notes payable represents the installment payment made for this year. P12,430 worth of shares were re-acquired by the company. Given this information, construct the firm's 2022: 1) Compute for Garnet, Inc.'s profit after income tax for the year 2022. 2) Compute for the amount of dividends paid by Garnet, Inc. during the year. 3) Construct Garnet, Inc.'s Statement of Shareholders' Equity for the year 2022. 4) Construct Garnet, Inc.'s Statement of Cash Flows for the year 2022.

Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter9: Metric-analysis Of Financial Statements
Section: Chapter Questions
Problem 9.4.10P: Twenty metrics of liquidity, solvency, and profitability The comparative financial statements of...
See similar textbooks
icon
Related questions
Question
Garnet Company, Inc. Comparative Statements of Financial Position As of the year ended December 31, 2022 Assets Cash 2022 2021 P 94,190.00 P Accounts receivable Inventory Prepaid expenses 55,400.00 131,000.00 62,700.00 70,400.00 154,000.00 34,152.00 19,860.00 Total current assets 314,742.00 306,960.00 Land 157,500.00 157,500.00 Equipment 225,750.00 192,500.00 Accumulated depreciation - Equipment 75,125.00 48,125.00 Buildings 275,000.00 275,000.00 Accumulated depreciation - Buildings 82,550.00 68,750.00 Total 815,317.00 P 815,085.00 Liabilities and Equity Accounts payable Long-term notes payable Ordinary shares, P5 par value Share Premium Accumulated Profits and Losses Treasury shares Total 41,800.00 47,250.00 270,000.00 360,000.00 ? 150,000.00 ? 56,415.00 ? 250,500.00 ? 49,080.00 ? 815,085.00 Sales for 2022 were P503,950 and cost of goods sold was 60% of sales. Furthermore, depreciation for the year was P48,400 and other expenses was P73,100. During the year, equipment costing P19,000 with accumulated depreciation P7,600 (already included in the total depreciation of P48,400) at the time sale was sold for P12,580 cash. Additionally, new equipment was bought during the year. The corporate tax rate was 25%, and Garnet pays 40% of its after tax profits as dividends. During the year Garnet issued ordinary shares with a par value of P47,300 for P71,545. The decrease in the notes payable represents the installment payment made for this year. P12,430 worth of shares were re-acquired by the company. Given this information, construct the firm's 2022: 1) Compute for Garnet, Inc.'s profit after income tax for the year 2022. 2) Compute for the amount of dividends paid by Garnet, Inc. during the year. 3) Construct Garnet, Inc.'s Statement of Shareholders' Equity for the year 2022. 4) Construct Garnet, Inc.'s Statement of Cash Flows for the year 2022.
Transcribed Image Text:Garnet Company, Inc. Comparative Statements of Financial Position As of the year ended December 31, 2022 Assets Cash 2022 2021 P 94,190.00 P Accounts receivable Inventory Prepaid expenses 55,400.00 131,000.00 62,700.00 70,400.00 154,000.00 34,152.00 19,860.00 Total current assets 314,742.00 306,960.00 Land 157,500.00 157,500.00 Equipment 225,750.00 192,500.00 Accumulated depreciation - Equipment 75,125.00 48,125.00 Buildings 275,000.00 275,000.00 Accumulated depreciation - Buildings 82,550.00 68,750.00 Total 815,317.00 P 815,085.00 Liabilities and Equity Accounts payable Long-term notes payable Ordinary shares, P5 par value Share Premium Accumulated Profits and Losses Treasury shares Total 41,800.00 47,250.00 270,000.00 360,000.00 ? 150,000.00 ? 56,415.00 ? 250,500.00 ? 49,080.00 ? 815,085.00 Sales for 2022 were P503,950 and cost of goods sold was 60% of sales. Furthermore, depreciation for the year was P48,400 and other expenses was P73,100. During the year, equipment costing P19,000 with accumulated depreciation P7,600 (already included in the total depreciation of P48,400) at the time sale was sold for P12,580 cash. Additionally, new equipment was bought during the year. The corporate tax rate was 25%, and Garnet pays 40% of its after tax profits as dividends. During the year Garnet issued ordinary shares with a par value of P47,300 for P71,545. The decrease in the notes payable represents the installment payment made for this year. P12,430 worth of shares were re-acquired by the company. Given this information, construct the firm's 2022: 1) Compute for Garnet, Inc.'s profit after income tax for the year 2022. 2) Compute for the amount of dividends paid by Garnet, Inc. during the year. 3) Construct Garnet, Inc.'s Statement of Shareholders' Equity for the year 2022. 4) Construct Garnet, Inc.'s Statement of Cash Flows for the year 2022.
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS