EBK ACCOUNTING PRINCIPLES
13th Edition
ISBN: 9781119411017
Author: Weygandt
Publisher: WILEY
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Shane Sunland began a business, Sunland Company, on January 1, 2021, with an investment of $105,000. The company had the following assets and liabilities on the dates indicated:
December 31
Total Assets
Total Liabilities
2021
$355,000
$200,000
2022
440,000
285,000
2023
535,000
310,000
Use the accounting equation and the change in owner's equity during the year to calculate the profit (or loss) for:
a) 2021, assuming Shane Sunland's drawings were $50,000 for the year.
b) 2022, assuming Shane Sunland's made an additional investment of $51,000 and had no drawings in 2022.
c) 2023, assuming Shane Sunland's made an additional investment of $10,000 and his drawings were $40,000 for the year.
Please explain for all questions, thank you.
The Sheffield Company had the following assets and liabilities on the dates indicated.
December 31
Total Assets
Total Liabilities
2019
$528,000
$262,000
2020
$520,000
$239,200
2021
$638,000
$304,000
Sheffield began business on January 1, 2019, with an investment of $124,000.
From an analysis of the change in owner's equity during the year, compute the net income (or loss) for: (Enter negative amounts using
either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).)
(a)
2019, assuming Sheffield's drawings were $69,000 for the year.
(b)
2020, assuming Sheffield made an additional investment of $74,000 and had no drawings in 2020.
(c)
2021, assuming Sheffield made an additional investment of $22,500 and had drawings of $64,000 in 2021.
(a)
Net income/loss for 2019 $
335000
(b)
Net income/loss for 2020
$
594000
(c)
Net income/loss for 2021
$
596500
using information below how can I prepere Bringle company income statement effects for year end December 31, 2019?
We have the following information:
A patent was purchased from Lou Company for $1,845,000 on January 1, 2018. Bringle estimated the remaining useful life of the patent to be 15 years. The patent was carried in Lou's accounting records at a net book value of $1,635,000 when Lou sold it to Bringle.
During 2019, a franchise was purchased from Rink Company for $470,000. In addition, 6% of revenue from the franchise must be paid to Rink. Revenue from the franchise for 2019 was $2,000,000. Bringle estimates the useful life of the franchise to be 5 years and takes a full year's amortization in the year of purchase
On January 1, 2019, Bringle estimates, based on new events, that the remaining life of the patent purchased on January 1, 2018, is only 10 years from January 1, 2019
Step 2
Schedule showing the intangibles section of Bringle's balance sheet at December 31, 2019…
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