Bensen Company started business by acquiring $26,300 cash from the issue of common stock on January...

Bensen Company started business by acquiring $26,300 cash from the issue of common stock on January 1, Year 1. The cash acquired was immediately used to purchase equipment for $26,300 that had a $3,900 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume that all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $4,330 cash. Bensen uses straight-line depreciation. Year 1 Year 2 Year 3 Year 4 Year 5 Revenue $ 7,640 $ 8,140 $ 8,340 $ 7,140 $ 0 Required Prepare income statements, statements of changes in stockholders’ equity, balance sheets, and statements of cash flows for each of the five years.

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Bobby's sandwiches started business by acquiring $24,700 cash from the issue of common stock on January...

Bobby's sandwiches started business by acquiring $24,700 cash from the issue of common stock on January 1, Year 1. The cash acquired was immediately used to purchase equipment for $24,700 that had a $3,900 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume that all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $4,480 cash. Bobby uses straight-line depreciation....

Golden Manufacturing Company started operations by acquiring $150,000 cash from the issue of common stock. On...

Golden Manufacturing Company started operations by acquiring $150,000 cash from the issue of common stock. On January 1, Year 1, the company purchased equipment that cost $120,000 cash, had an expected useful life of five years, and had an estimated salvage value of $4,000. Golden Manufacturing earned $72,000 and $83,000 of cash revenue during Year 1 and Year 2, respectively. Golden Manufacturing uses double-declining-balance depreciation. What is Golden's straight line rate? What is the Depreciation Expense for Year 1? What...

Golden Manufacturing Company started operations by acquiring $104,300 cash from the issue of common stock. On...

Golden Manufacturing Company started operations by acquiring $104,300 cash from the issue of common stock. On January 1, 2016, the company purchased equipment that cost $104,300 cash, had an expected useful life of six years, and had an estimated salvage value of $20,860. Golden Manufacturing earned $93,390 and $64,790 of cash revenue during 2016 and 2017, respectively. Golden Manufacturing uses double-declining-balance depreciation. Required: Prepare income statements, balance sheets, and statements of cash flows for 2016 and 2017. Use a vertical...

Golden Manufacturing Company started operations by acquiring $79,800 cash from the issue of common stock. On...

Golden Manufacturing Company started operations by acquiring $79,800 cash from the issue of common stock. On January 1, Year 1, the company purchased equipment that cost $79,800 cash, had an expected useful life of six years, and had an estimated salvage value of $15,960. Golden Manufacturing earned $97,270 and $63,200 of cash revenue during Year 1 and Year 2, respectively. Golden Manufacturing uses double-declining-balance depreciation. Required: Prepare income statements, balance sheets, and statements of cash flows for Year 1 and...

Golden Manufacturing Company started operations by acquiring $142,000 cash from the issue of common stock. On...

Golden Manufacturing Company started operations by acquiring $142,000 cash from the issue of common stock. On January 1, 2018, the company purchased equipment that cost $132,000 cash, had an expected useful life of five years, and had an estimated salvage value of $13,200. Golden Manufacturing earned $94,700 and $68,080 of cash revenue during 2018 and 2019, respectively. Golden Manufacturing uses double-declining-balance depreciation. Required Record the purchase in a horizontal statements model. b-1. Prepare an income statements for 2018 and 2019....

Bensen Company began operations when it acquired $26,800 cash from the issue of common stock on...

Bensen Company began operations when it acquired $26,800 cash from the issue of common stock on January 1, 2018. The cash acquired was immediately used to purchase equipment for $26,800 that had a $4,400 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $3,400 cash. Bensen uses straight-line depreciation. 2018...

Bensen Company began operations when it acquired $26,500 cash from the issue of common stock on...

Bensen Company began operations when it acquired $26,500 cash from the issue of common stock on January 1, 2018. The cash acquired was immediately used to purchase equipment for $26,500 that had a $4,500 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $4,000 cash. Bensen uses straight-line depreciation: 2018...

Bensen Company began operations when it acquired $60,000 cash from the issue of common stock on...

Bensen Company began operations when it acquired $60,000 cash from the issue of common stock on January 1, 2018. The cash acquired was immediately used to purchase equipment for $50,000 that had a $10,000 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $8,800 cash. Bensen uses straight-line depreciation. 2018...

Bensen Company began operations when it acquired $26,700 cash from the issue of common stock on...

Bensen Company began operations when it acquired $26,700 cash from the issue of common stock on January 1, 2018. The cash acquired was immediately used to purchase equipment for $26,700 that had a $3,500 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $2,300 cash. Bensen uses straight-line depreciation. 2018...

1. The business was started when it acquired $51,000 cash from the issue of common stock....

1. The business was started when it acquired $51,000 cash from the issue of common stock. 2. Northwest purchased $171,000 of merchandise for cash in 2016. 3. During the year, the company sold merchandise for $199,490. The merchandise cost $109,720. Sales were made under the following terms: a. $ 45,950 Cash sales b. 142,080 Credit card sales (The credit card company charges a 1.25 percent service fee.) c. 11,460 Sales on account 4. The company collected all the amount receivable...

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