Module 1 Graded Quiz >> Financial Accounting: Foundations
Module 1 Graded Quiz
|Asset||Expected Life||Balance Sheet Value, in USD|
|Accounts Receivable||6 months||$100,000|
|Accounts Receivable||13 months||$200,000|
|Prepaid Expenses||3 months||$50,000|
|Notes Receivable||15 months||$200,000|
|Year||Stock issued||Amount of Common Stocks Issued||Par Value||Total Paid by Investors on all Stocks this Year|
|2013||Common Stock A||10,000||$2||$100,000|
|2014||Common Stock B||50,000||$2||$120,000|
|2015||Common Stock C||20,000||$2||$150,000|
|2016||Common Stock D||30,000||$2||$180,000|
Hint: Please write down a representative income statement (you can refer to Walmart income statement), start from the bottom (i.e., net income after taxes), and work your way up in the income statement.
Hint 1: Total sales (or Total Revenue) – Cost of Sales (Or Cost of Goods Sold) – Operating Expenses = Operating Income.
Hint 2: Interest revenue, interest expense, and income tax are not part of operating income.
|Cost of Sales||$7,950|
How many of these accounts would appear in The Gathering Sound’s year-end balance sheet?