Questions from Financial Accounting

Q: During 2012, Beta, Inc., had sales of $6

During 2012, Beta, Inc., had sales of $6.86 billion, operating profit of $2.20 billion, and net income of $3.40 billion. EPS was $4.80. On May 11, 2013, one share of Beta’s common stock was priced at...

Q: The income statement and additional data of Value World, Inc.,

The income statement and additional data of Value World, Inc., follow: Additional data: a. Collections from customers are $25,000 less than sales. b. Payments to suppliers are $1,600 more than the s...

Q: Assume that Better Buy Stores completed the following foreign-currency transactions

Assume that Better Buy Stores completed the following foreign-currency transactions: May 9 Purchased DVD players as inventory on account from Toyita, a Japanese company. The price was 400,000 yen, and...

Q: During 2012, Campbell Heights Corp.’s income statement reported income

During 2012, Campbell Heights Corp.’s income statement reported income of $300,000 before tax. The company’s income tax return fi led with the IRS showed taxable income of $260,000. During 2012, Campb...

Q: Hampton Loan Company’s balance sheet reports the following: Preferred stock

Hampton Loan Company’s balance sheet reports the following: Preferred stock, $80 par value, 8%, 11,000 shares issued ............ $ 880,000 Common stock, $2.50 par, 1,500,000 shares issued...............

Q: Photosmart Camera Co. sold equipment with a cost of $18

Photosmart Camera Co. sold equipment with a cost of $18,000 and accumulated depreciation of $6,000 for an amount that resulted in a gain of $4,000. What amount should Photosmart report on the statemen...

Q: Plato Holding Company operates numerous businesses, including motel, auto rental

Plato Holding Company operates numerous businesses, including motel, auto rental, and real estate companies. 2012 was interesting for Plato, which reported the following on its income statement (in mi...

Q: Dwelling, Inc., a household products chain, reported a prior

Dwelling, Inc., a household products chain, reported a prior-period adjustment in 2012. An accounting error caused net income of 2011 to be overstated by $16 million. Retained earnings at December 31,...

Q: At December 31, 2012, Rondeau Mall, Inc., reported

At December 31, 2012, Rondeau Mall, Inc., reported stockholders’ equity as follows: Common stock, $1.50 par, 700,000 shares authorized, 310,000 shares issued............ $ 465,000 Additional paid-in c...

Q: Wave Water Company reported the following items on its statement of shareholders’

Wave Water Company reported the following items on its statement of shareholders’ equity for the year ended December 31, 2012: Requirements 1. Determine the December 31, 2012, bala...