Terracotta, Inc. reported the following accounts and amounts (inmillions) in its financial statements for the year ended November30, 2013.
Accounts Payable $ 730 Accounts Receivable 630 Accumulated Amortization 460 Accumulated Depreciation 800 Allowance for Doubtful Accounts 20 Cash and Cash Equivalents 840 Equipment 5,055 Income Taxes Payable 20 Notes Payable (long-term) 1,600 Notes Payable (short-term) 20 Notes Receivable (long-term) 220 Prepaid Rent 280 Retained Earnings 7,030 Service Revenue 460 Short-term Investments 2,440 Software 615 Unearned Revenue 790
Prepare the current assets section of its balance sheet. TheAllowance for Doubtful Accounts relates entirely to AccountsReceivable.
Terracotta Partial Balance Sheet As of November 30, 2013 (in millions of dollars) Assets Current Assets: Cash and Cash Equivalents Short-term Investments Accounts Receivable Allowance for Doubtful Accounts Accounts Receivable, net of Allowance Prepaid Rent Total Current Assets
Terracotta, Inc. reported the following accounts and amounts (inmillions) in its financial statements for the year ended November30, 2013. |
| Accounts Payable | $ | 730 | |
| Accounts Receivable | 630 | ||
| Accumulated Amortization | 460 | ||
| Accumulated Depreciation | 800 | ||
| Allowance for Doubtful Accounts | 20 | ||
| Cash and Cash Equivalents | 840 | ||
| Equipment | 5,055 | ||
| Income Taxes Payable | 20 | ||
| Notes Payable (long-term) | 1,600 | ||
| Notes Payable (short-term) | 20 | ||
| Notes Receivable (long-term) | 220 | ||
| Prepaid Rent | 280 | ||
| Retained Earnings | 7,030 | ||
| Service Revenue | 460 | ||
| Short-term Investments | 2,440 | ||
| Software | 615 | ||
| Unearned Revenue | 790 | ||
Prepare the current assets section of its balance sheet. TheAllowance for Doubtful Accounts relates entirely to AccountsReceivable.
| Terracotta | ||
| Partial Balance Sheet | ||
| As of November 30, 2013 | ||
| (in millions of dollars) | ||
| Assets | ||
| Current Assets: | ||
| Cash and Cash Equivalents | ||
| Short-term Investments | ||
| Accounts Receivable | ||
| Allowance for Doubtful Accounts | ||
| Accounts Receivable, net of Allowance | ||
| Prepaid Rent | ||
| Total Current Assets |
Related questions
M8-13 Reporting Accounts andNotes Receivable in a Classified Balance Sheet
Adobe Systems Incorporated reported the following accounts andamounts (in millions) in its financial statements for the yearended November 30, 2013. Prepare the current assets section of itsbalance sheet. The Allowance for Doubtful Accounts relates entirelyto Accounts Receivable.
Accounts Payable $720
Accounts Receivable610
Accumulated Amortization 450
Accumulated Depreciation790
Allowance for Doubtful Accounts10
Cash and Cash Equivalents830
Equipment 4,955
Income Taxes Payable 10
Notes Payable (long-term) $1,500
Notes Payable (short-term) 15
Notes Receivable (long-term) 210
Prepaid Rent 270
Retained Earnings 6,930
Service Revenue 450
Short-term Investments 2,340
Software 605
Unearned Revenue 780
| M8-13 | ||||||||
| Reporting Accounts and Notes Receivable in aClassified Balance Sheet | ||||||||
| Adobe Systems, Inc. | ||||||||
| Partial Balance Sheet | ||||||||
| As of November 30, 20XX | ||||||||
| (in millions) | ||||||||
| Assets: | Amount | |||||||
| Current Assets | ||||||||
| Cash and Cash Equivalents | ||||||||
| Short-term investments | ||||||||
| Accounts Receivable | ||||||||
| Allowance for Doubful Accounts | ||||||||
| Accounts Receivable, Net of Allowance | ||||||||
| Prepaid Rent | ||||||||
| Total Current Assets | ||||||||
| Delta Company | |||
| November 30 | |||
| Balance Sheet | 2013 | 2014 | |
| Cash | $160 | $300 | |
| Accounts Receivable | $420 | $480 | |
| Inventory | $500 | $730 | |
| Equipment | $2,000 | $2,500 | |
| Less Accumulated Depreciation | $(1,000) | $(1,200) | |
| Total Assets | $2,080 | $2,810 | |
| Accounts payable | $280 | $310 | |
| Other current liabilities | $300 | $500 | |
| Notes payable Long Term | $600 | $700 | |
| Common Stock | $400 | $600 | |
| Retained Earnings | $500 | $700 | |
| Total liabilities and stockholders' equity | $2,080 | $2,810 | |
| Income statement | |||
| Net sales | $1,550 | $1,840 | |
| Cost of goods sold | 920 | 1060 | |
| Gross margin | 630 | 780 | |
| Expenses: | |||
| Salaries | 200 | 250 | |
| Warehousing costs | 90 | 120 | |
| Advertising | 120 | 70 | |
| Taxes | 45 | 75 | |
| Total expenses | 455 | 515 | |
| Net income | $175 | $265 | |
| Calculate the following for the year 2014: | |||
| 1. Current Ratio | |||
| 2. Accounts Receivable Turnover | |||
| 3. Inventory Turnover |
Translate the consolidated income statement and balance sheetfrom English pounds to U.S. dollars.
Exchange rates are:
March 31, 2012, Exchange Rate: 1 £ = $1.24
Average Rate for2012: 1 £ = $1.22
December 31, 2012, ExchangeRate: 1 £ = $1.20
Which rates should i use when converting the below lines?
| SALES REVENUE |
| COST OF GOODS SOLD |
| SELLING EXPENSES |
| ADMINISTRATIVE EXPENSES |
| INTEREST EXPENSES |
| Income/Loss from Investment inSubsidiary |
| BEGIN BALANCE |
| NET INCOME |
| Cash |
| Accounts Receivable |
| Inventory |
| Short-Term Investments |
| Prepaid Assets |
| Investment in Subsidiary |
| Long-Term Notes Receivable |
| Debt Service Fund |
| Depreciable Assets |
| Accumulated Depreciation |
| Intangible Assets |
| Current Liabilities |
| Long-Term Notes Payable |
| Common Stock |
| Retained Earnings |
