All categories

1 year ago

What is the ending balance on the statement of changes in owner's equity for this data?

1 answer:

4 0

The Owner's Equity statement illustrates the capital account changes due to contributions, withdrawals, net income, or a net loss. So Ending Balance of the statement of changes in Owner's equity will be; Opening capital + Capital Added + Net Income - Owner's Withdrawals.

A one-page report titled a "statement of owner's equity" compares all assets and liabilities to determine the owner's equity's overall value. The snapshot, which is tracked over a predetermined time period or accounting period, depicts the flow of cash through a company.

Owner's equity is simply the difference between the owner's initial investment in the business and any withdrawals made by the owner. For instance: A real estate project with a value of $500,000 and a loan balance of $400,000 would have $100,000 in owner's equity.

Learn more about owner's equity here

brainly.com/question/24196918

#SPJ4

You might be interested in

What is the act of working in exchange for an income.?

Neporo4naja [7]

Employment is the act of working in exchange for an income.

Employment is a relationship between two parties, usually based on a contract where work is paid for, where one party, which may be a corporation, for profit, not-for-profit organization, co-operative or other entity is the employer and the other is the employee.

3 0

3 years ago

Last year Kruse Corp had $355,000 of assets, $403,000 of sales, $28,250 of net income, and a debt-to-total-assets ratio of 39%.

maksim [4K]

Answer:

It will improve the ROE by 5.29% to 18.34% from 13.05%

Explanation:

current values

assets 355,000

sales 403,000

net income 28,250

debt to assets = 39%

debt = assets x 39% = 355,00 x .39 = 138,450

equity = assets - debt = 355,000 - 138,450 = 216,550

Current ROE

net income / own funds (equity)

28,250/216,500 = 0,1304849 = 13.05%

With the proposition of reducing assets to 252,500

debt = assets x 39% = 252,500 x .39 = 98,475

equity = assets - debt = 252,500 - 98,475 = 154,025‬

proposition expected ROE

28,250/154,025 = 0,183411783 = 18.34%

Change in ROE 18.34 - 13.05 = 5.29

6 0

3 years ago

Which two of the three financial statements would you find Net Income on?

xxTIMURxx [149]

Answer:

C) Income Statement and Cash Flow Statement

Explanation:

The Income Statement shows a clear separate entry for the Net income which is calculated after all the deductions and additions.

Net Income is the first balance shown on the cash flow statement after which the calculations are carried out to find the flow of cash in and out of the company.

Net income is also shown in the Balance Sheet but not separately but together with retained earnings. It is added to the retained earnings and the amount is shown as a whole amount of retained earnings or shown as a change in equity.

So best answer is C because the question asked is where would you find Net Income on?

Meaning separately. So it is separately present on Income Statement and Cash Flow Statement.

Otherwise it is present on all three statements ( on balance sheet as part of retained earnings or equity).

6 0

3 years ago

Simon Company’s year-end balance sheets follow.

vivado [14]

Answer:

A.Current ratio

2017 191%

2016 248%

2015 289%

B.Acid Test Ratio

2017 101%

2016 139%

2015 183%

Explanation:

A.Computation of the current ratio for the year ended 2017, 2016, and 2015.

Using this formula

Current Ratio =Current Assets / Current Liabilities

2017 2016 2015

Cash $26,403 $29,364 $29,991

Accounts receivable, net

73,552 52,436 40,392

Merchandise inventory 96,214 70,676 43,017

Prepaid expenses 8,255 7,944 3,467

a.Current asset

204,424 160,420 116,867

b.Current Liabilities

Accounts payable $107,101 $64,564 $40,392

Let plug in the formula

(a) / (b) Current Ratio 191% 248% 289%

Therefore the Current ratio are:

2017 191%

2016 248%

2015 289%

B.Computation for acid-test ratio for the year ended 2017, 2016, and 2015.

Using this formula

Acid Test Ratio=Current Assets / Current Liabilities

2017 2016 2015

Cash $26,403 $29,364 $29,991

Accounts receivable, net

73,552 52,436 40,392

Prepaid expenses 8,255 7,944 3,467

a. Current asset

108,210 89,744 73,850

b. Current liabilities

Accounts payable $107,101 $64,564 $40,392

Let plug in the formula

(a) / (b)Acid Test Ratio 101% 139% 183%

Therefore the Acid Test Ratio are:

2017 101%

2016 139%

2015 183%

8 0

3 years ago

A company has developed a new cell phone which will be targeted to developing countries. It is estimated that the demand for the

Arturiano [62]

Answer:

Demand forecast.

Demand forecast is the process a business embarks on so that it can predict its future sales and demand of a product.

Explanation:

A demand forecast will assist the company to come up with decisions as regards the number and nature of people they need. The demand forecast will also help to determine the amount of workers they need for staffing a new facility so that it can operate efficiently and at it optimum.

4 0

2 years ago

Read 2 more answers