question archive The following partial information from the accounting records of Kendall Roman Co
The following partial information from the accounting records of Kendall Roman Co
Subject:BusinessPrice: Bought3
The following partial information from the accounting records of Kendall Roman Co. as at December 31, 2020, the end of company's fiscal year, has been collected: Accounts receivable (Balance at Dec 31, 2020) Accumulated Depreciation Furniture(Balance at January 1, 2020) Cash (Balance at Dec 31, 2020). Common Stock (Balance at January 1, 2020) Cost of Goods Sold (of the year 2020) Earnings before interest and taxes (of the year 2020). Furniture (Balance at January 1, 2020) Inventory (Balance at Dec 31, 2020_Unadjusted) Loan (Balance at Jan 01, 2020) Net Income (of the year 2020) Retained Earnings (Balance at January 1, 2020). Supplies (Balance at Dec 31, 2020_Unadjusted) $60010 $50080 _$20060 $40210 $250960 $180360 $160020 _$45420 $80060 $90230 $60240 $4060 Additional Information a.At the end of the year, Supplies actually on hand is $2240. b.Depreciation @ 10% is to be charged on Furniture using the reducing-balance method. C.The company has declared 5% Cash Dividend on its Common Stock. d.The annual interest rate on the Loan is 2%. e.Physical check on December 31, 2020 reveals that inventory actually on hand is $44,800. Calculate the following using all the relevant information given above: (1) Retained Earnings Balance at the end of December 31, 2020 (1 Mark) 148459.5 148459.5 (2) Earnings Before Taxes (EBT) for the year ended December 31, 2020 (1 Mark) (3) Accumulated Depreciation-Furniture Balance at the end of December 31, 2020 (1 Mark) (4) Cost of Goods Sold for the year ended December 31, 2020 (1 Mark) (5) Total Current Assets at the end of December 31, 2020 (1 Mark)
