Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc., are provided below. RED, INC. Comparative Balance Sheets December 31, 2021 and 2020 ($ in millions) 2021 2020 Assets Cash $ 43 $ 138 Accounts receivable 196 151 Prepaid insurance 9 4 Inventory 302 194 Buildings and equipment 438 369 Less: Accumulated depreciation (138 ) (259 ) $ 850 $ 597 Liabilities Accounts payable $ 106 $ 138 Accrued liabilities 8 15 Notes payable 69
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- Balance Sheet Baggett Companys balance sheet accounts and amounts as of December 31, 2019, are shown in random order as follows: Required: 1. Prepare a December 31, 2019, balance sheet for Baggett. 2. Compute the debt to-assets ratio.Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc., are provided below. RED, INC.Comparative Balance SheetsDecember 31, 2021 and 2020 ($ in millions) 2021 2020 Assets Cash 28 114 Accounts receivable 184 136 Prepaid insurance 13 8 Inventory 250 179 Buildings and equipment 451 354 Less: Accumulated depreciation (123) (244) Total 803 547 Liabilities Accounts payable 93 108 Accrued liabilities 12 18 Notes payable 54 0 Bonds payable 172 0 Shareholders’ Equity Common stock 404 404 Retained earnings 68 17 Total 803 547 RED, INC.Statement of IncomeFor Year Ended December 31, 2021 ($ in millions) Revenues Sales revenue 2,020 Expenses Cost of goods sold 1,414 Depreciation expense 41 Operating expenses 460 1,915 Net income 105 Additional information from the accounting records: During 2021, $277 million of…Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc., are provided below. RED, INC.Comparative Balance SheetsDecember 31, 2021 and 2020 ($ in millions) 2021 Assets Cash $35 134 Accounts receivable 200 143 Prepaid insurance 5 3 Inventory 307 186 Buildings and equipment 422 361 Less: Accumulated depreciation -130 -251 839 576 Liabilities Accounts payable 98 122 Accrued liabilities 4 9 Notes payable 61 0 Bonds payable 173 0 Shareholders’ Equity Common stock 411 411 Retained earnings 92 34 839 576 RED, INC.Statement of IncomeFor Year Ended December 31, 2021 ($ in millions) Revenues Sales revenue 2,110 Expenses Cost of goods sold $1,424 Depreciation…
- Comparative balance sheets for 2024 and 2023, a statement of income for 2024, and additional information from the accounting records of Red, Incorporated, are provided below: Assets RED, INCORPORATED Comparative Balance Sheets December 31, 2024 and 2023 ($ in millions) Cash Accounts receivable Prepaid insurance Inventory Buildings and equipment Less: Accumulated depreciation 2023 2024 $ 44.1 143.0 $ 164.6 94.0 5.4 298.0 436.0 (144.0) 2.4 172.0 370.0 (259.0) $ 544.0 Liabilities Accounts payable Accrued liabilities Notes payable Bonds payable Shareholders' Equity Common stock Retained earnings $ 782.5 $ 95.0 8.5 $ 106.5 100.0 130.0 15.5 0.0 0.0 400.0 49.0 $ 782.5 $ 544.0 400.0 22.0asap The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given below for Wright Company. Additional information from Wright's accounting records is provided also. WRIGHT COMPANYComparative Balance SheetsDecember 31, 2021 and 2020($ in thousands) 2021 2020 Assets Cash $ 116 $ 95 Accounts receivable 136 140 Short-term investment 47 14 Inventory 137 135 Land 102 125 Buildings and equipment 695 530 Less: Accumulated depreciation (193 ) (140 ) $ 1,040 899 Liabilities Accounts payable $ 40 $ 48 Salaries payable 2 6 Interest payable 8 5 Income tax payable 5 10 Notes payable 0 33 Bonds payable 296 230 Shareholders’ Equity Common stock 390 330 Paid-in capital—excess of par 187 165…The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given below for Wright Company. Additional information from Wright's accounting records is provided also. WRIGHT COMPANYComparative Balance SheetsDecember 31, 2021 and 2020($ in thousands) 2021 2020 Assets Cash $ 116 $ 95 Accounts receivable 136 140 Short-term investment 47 14 Inventory 137 135 Land 102 125 Buildings and equipment 695 530 Less: Accumulated depreciation (193 ) (140 ) $ 1,040 899 Liabilities Accounts payable $ 40 $ 48 Salaries payable 2 6 Interest payable 8 5 Income tax payable 5 10 Notes payable 0 33 Bonds payable 296 230 Shareholders’ Equity Common stock 390 330 Paid-in capital—excess of par 187 165…
- The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given below for Wright Company. Additional information from Wright's accounting records is provided also. WRIGHT COMPANYComparative Balance SheetsDecember 31, 2021 and 2020($ in thousands) 2021 2020 Assets Cash $ 79 $ 40 Accounts receivable 83 85 Short-term investment 33 12 Inventory 83 80 Land 58 70 Buildings and equipment 525 420 Less: Accumulated depreciation (127 ) (85 ) $ 734 622 Liabilities Accounts payable $ 29 $ 37 Salaries payable 4 7 Interest payable 4 2 Income tax payable 6 11 Notes payable 0 21 Bonds payable 162 120 Shareholders’ Equity Common stock 265 220 Paid-in capital—excess of par 145 110 Retained earnings…Required: Prepare the statement of cash flows of Wright Company for the year ended December 31, 2021. Present cash flows from operating activities by the direct method. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands (i.e., 10,000 should be entered as 10).) WRIGHT COMPANY Statement of Cash Flows For the year ended December 31, 2021 ($ in thousands) Cash flows from operating activities: Cash inflows: Cash outflows: Net cash flows from operating activities. Cash flows from investing activities: Net cash flows from investing activities Cash flows from financing activities: Net cash flows from financing activities Net increase (decrease) in cash Cash balance, January 1 Cash balance, December 31The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given below for Wright Company. Additional information from Wright’s accounting records is provided also. WRIGHT COMPANY Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) 2021 2020 Assets Cash $ 42 $ 30 Accounts receivable 73 75 Short-term investment 40 15 Inventory 75 70 Land 50 60 Buildings and equipment 550 400 Less: Accumulated depreciation (115 ) (75 ) $ 715 575 Liabilities Accounts payable $ 28 $ 35 Salaries payable 2 5 Interest payable 5 3 Income tax payable 9 12 Notes payable 0 30 Bonds payable 160 100 Shareholders’ Equity Common stock 250 200 Paid-in capital—excess of par 126 100…
- The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given below for Dux Company. Additional information from Dux’s accounting records is provided also. DUX COMPANYComparative Balance SheetsDecember 31, 2021 and 2020($ in thousands) 2021 2020 Assets Cash $ 111.0 $ 33.0 Accounts receivable 61.0 63.0 Less: Allowance for uncollectible accounts (6.0 ) (5.0 ) Dividends receivable 16.0 15.0 Inventory 68.0 63.0 Long-term investment 28.0 23.0 Land 83.0 40.0 Buildings and equipment 173.0 263.0 Less: Accumulated depreciation (9.0 ) (115.0 ) $ 525.0 $ 380.0 Liabilities Accounts payable $ 26.0 $ 33.0 Salaries payable 15.0 18.0 Interest payable 17.0 15.0 Income tax payable 20.0 21.0 Notes payable 43.0 0 Bonds payable 94.0…The current sections of Larkspur, Inc.’s balance sheets at December 31, 2021 and 2022, are presented here. Larkspur, Inc.’s net income for 2022 was $221,850. Depreciation expense was $39,150. 2022 2021 Current assets Cash $152,250 $ 143,550 Accounts receivable 116,000 129,050 Inventory 243,600 249,400 Prepaid expenses 39,150 31,900 Total current assets $551,000 $553,900 Current liabilities Accrued expenses payable $ 21,750 $ 7,250 Accounts payable 123,250 133,400 Total current liabilities $145,000 $ 140,650 Prepare the net cash provided (used) by operating activities section of the company’s statement of cash flows for the year ended December 31, 2022, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)The current sections of Martinez Corp.’s balance sheets at December 31, 2021 and 2022, are presented here. Martinez Corp.’s net income for 2022 was $241,300. Depreciation expense was $39,900. 2022 2021 Current assets Cash $58,900 $ 84,550 Accounts receivable 80,750 65,550 Inventory 74,100 58,900 Prepaid expenses 16,150 18,050 Total current assets $229,900 $227,050 Current liabilities Accrued expenses payable $ 5,700 $ 15,200 Accounts payable 83,600 68,400 Total current liabilities $89,300 $ 83,600