Accounting

at9030
Dropbox1-5Worksheet.xlsx
Home>Business & Finance homework help>Accounting homework help>Accounting

#1

Chapter 2 - Dropbox 1.5
Problem 1: Building a Balance Sheet
KCCO, Inc., has current assets of $5,300, net fixed assets of $24,900, current liabilities of $4,600, and long-term debt of $10,300.
a) What is the value of the shareholder's equity account for this firm? b) How much is net working capital?
Create your Original Solution Below - Be sure to show all calculations and clearly indicate answers.
This is the Student Template, provided in the course materials by D. Kendall April 2019

#2

Chapter 2 - Dropbox 1.5
Problem 2: Building an Income Statement
Billy's Exterminators, Inc., has sales of $817,000, variable costs of $239,000, selling and administrative expenses of $104,000, depreciation expense of $51,000, interest expense of $38,000, and a tax rate of 35 percent.
What is the net income for this firm?
Use the Template Provided Below to Create Your Solution - Pay close attention to the formulas and formatting of the inputs.
Input area:
Sales ($)
Variable / Direct Costs
Selling and Admin Expenses
Depreciation expense
Interest expense
Tax rate (%)
Output area:
.
Income Statement
Sales $ - 0
Variable / Direct Costs -
Selling and Admin Expenses -
Depreciation expense - 0
EBIT $ -
Interest expense -
EBT $ - 0
Taxes (0%) -
Net income $ - 0
This is the Student Template, provided in the course materials by D. Kendall April 2019

#3

Chapter 2 - Dropbox 1.5
Problem 3: Dividends and Retained Earnings
Suppose the firm in Problem # 2 paid out $95,000 in cash dividends.
What is the addition to retained earnings?
Use the Template Provided Below to Create Your Solution - Pay close attention to the formulas and formatting of the inputs.
Input area:
Sales ($)
Variable / Direct Costs
Selling and Admin Expenses
Depreciation expense
Interest expense
Tax rate (%)
Cash dividends ($)
Output area:
.
Income Statement
Sales $ - 0
Variable / Direct Costs -
Selling and Admin Expenses -
Depreciation expense - 0
EBIT $ -
Interest expense -
EBT $ - 0
Taxes (0%) -
Net income $ - 0
.
Addition to retained earnings $ - 0
This is the Student Template, provided in the course materials by D. Kendall April 2019

#4

Chapter 2 - Dropbox 1.5
Problem 4: Calculating Taxes and Tax Rates
The Drydek Co. had $267,000 in taxable income. Using the rates from Table 2.3 in your textbook Chapter 2, calculate the company's income taxes.
a) Calculate the total taxes due, in dollars? b) Determine the company's average tax rate? c) Determine the company's marginal tax rate?
Use the Template Provided Below to Create Your Solution - Pay close attention to the formulas and formatting of the inputs.
Input area:
Taxable income
Taxable-Income Brackets (% Rates)
0 - 50,000
50,001 - 75,000
75,001 - 100,000
100,001 - 335,000
335,001 - 10,000,000
10,000,001 - 15,000,000
15,000,001 - 18,333,333
18,333,334 +
Output area:
.
Taxes:
0% $ 50,000
0% (50,000)
0% 0
0% 0
0% 0
0% 0
0% 0
0% 0
$ - 0
Average tax rate: $ - 0 = ERROR:#DIV/0!
0
The marginal tax rate is 0%
This is the Student Template, provided in the course materials by D. Kendall April 2019

#5

Chapter 2 - Dropbox 1.5
Problem 5: Calculating OCF
Ridiculousness, Inc., has sales of $43,800, costs of $22,700, depreciation expense of $2,100, and interest expense of $1,600.
If the tax rate is 35 percent, what is the operating cash flow, or OCF?
Use the Template Provided Below to Create Your Solution - Pay close attention to the formulas and formatting of the inputs.
Input area:
Sales
Costs
Depreciation Expense
Interest Expense
Tax rate
Output area:
.
Income Statement
Sales $ - 0
Costs -
Depreciation expense - 0
EBIT $ -
Interest expense -
EBT $ - 0
Taxes (0%) -
Net income $ - 0
Operating cash flow $ - 0
This is the Student Template, provided in the course materials by D. Kendall April 2019

#6

Chapter 2 - Dropbox 1.5
Problem 6: Calculating Net Capital Spending
Bowyer Driving School's 2018 balance sheet showed net fixed assets of $2.7 million, and the 2019 balance sheet showed net fixed assets of $3.5 million. The company's 2019 income statement showed a depreciation expense of $328,000.
What was the net capital spending for 2019?
Create your Original Solution Below - Be sure to show all calculations and clearly indicate answers.
This is the Student Template, provided in the course materials by D. Kendall April 2019

#7

Chapter 2 - Dropbox 1.5
Problem 7: Calculating Additions to Net Working Capital
The 2018 balance sheet of Steelo, Inc., showed current assets of $4,630 and current liabilities of $2,190. The 2019 balance sheet showed current assets of $5,180 and current liabilities of $2,830.
What was the company's 2019 change in net working capital, or NWC?
Create your Original Solution Below - Be sure to show all calculations and clearly indicate answers.
This is the Student Template, provided in the course materials by D. Kendall April 2019

#8

Chapter 2 - Dropbox 1.5
Problem 8: Cash Flow to Creditors
The 2018 balance sheet of Sugarpova's Tennis Shop, Inc., showed long-term debt of $1.95 million, and the 2019 balance sheet showed long-term debt of $2.28 million. The 2019 income statement showed an interest expense of $235,000.
What was the firm's cash flow to creditors during 2019?
Create your Original Solution Below - Be sure to show all calculations and clearly indicate answers.
This is the Student Template, provided in the course materials by D. Kendall April 2019

#9

Chapter 2 - Dropbox 1.5
Problem 9: Cash Flow to Stockholders
The 2018 balance sheet of Sugarpova's Tennis Shop, Inc., showed $670,000 in the common stock account and $4.1 million in the additional paid-in-surplus account. The 2019 balance sheet showed $825,000 and $4.4 million in the same two accounts, respectively.
If the company paid out $565,000 in cash dividends during 2019, what was the cash flow to stockholders for the year?
Create your Original Solution Below - Be sure to show all calculations and clearly indicate answers.
This is the Student Template, provided in the course materials by D. Kendall April 2019