Understanding Financial Accounting 3rd Canadian Edition by Christopher D. Burnley test bank

 
b)     Total revenue
                  Sales                                                               $57,250
                  Other income                                              2,225
                  Total Revenue                                             $59,475
         Total expenses
                  Cost of goods sold                                      $35,300
                  Selling & administrative expense              9,500
                  Interest expense                                                 250
                  Depreciation expense                                 2,850
                  Income Tax Expense                                  6,120
                  Total expenses                                            $54,020
Net Income $59,475 – $54,020 = $5,455
 
c)     Total Liabilities
                  Accounts payable                                       $14,225
 
d) EPS = $5,455 / 3,250 = $1.68
 
Bloomcode: Analysis
Difficulty: Hard
Learning Objective: Identify and explain the content and reporting objectives of the four basic financial statements and the notes to the financial statements.
CPA: Financial Reporting
AACSB: Analytic
 
 
93. The following data was taken from the books as at December 31 of Malibu Inc.:
         Cash                                              $13,500         Common shares                                         $15,000