Question

In: Accounting

The income statement, balance sheet, and additional information for Virtual Gaming Systems are provided.     VIRTUAL...

The income statement, balance sheet, and additional information for Virtual Gaming Systems are provided.

   

VIRTUAL GAMING SYSTEMS
Income Statement
For the Year Ended December 31, 2015
  Net sales $ 2,580,000
  Gain on sale of land 6,000
          Total revenues 2,586,000
  Expenses:
       Cost of goods sold $ 1,640,000  
       Operating expenses 613,000  
       Depreciation expense 31,000  
       Interest expense 32,000
       Income tax expense 78,000
          Total expenses 2,394,000
  Net income $ 192,000

  

VIRTUAL GAMING SYSTEMS
Balance Sheet
December 31
2015 2014
  Assets
  Current assets:
     Cash $ 355,520    $ 291,840   
     Accounts receivable 66,200    82,000   
     Inventory 157,000    143,000   
     Prepaid rent 4,480    6,960   
  Long-term assets:
     Investments 213,000    120,000   
     Land 214,000    268,000   
     Equipment 246,000    218,000   
     Accumulated depreciation (140,000) (109,000)
        Total assets $ 1,116,200    $ 1,020,800   
  Liabilities and Stockholders' Equity
  Current liabilities:
     Accounts payable $ 34,000    $ 96,000   
     Interest payable 5,000    3,800   
     Income tax payable 24,200    28,000   
  Long-term liabilities:
     Notes payable 261,000    233,000   
  Stockholders' equity:
     Common stock 438,000    380,000   
     Retained earnings 354,000    280,000   
        Total liabilities and stockholders’ equity $ 1,116,200    $ 1,020,800   

  

Additional Information for 2015:
1. Purchase additional investment in stocks for $93,000.
2. Sell land costing $54,000 for $60,000, resulting in a $6,000 gain on sale of land.
3.

Purchase $28,000 in equipment by borrowing $28,000 with a note payable due in three years. No cash is exchanged in the transaction.

4. Declare and pay a cash dividend of $118,000.
5. Issue common stock for $58,000.

  

Required:

Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (List cash outflows and any decrease in cash as negative amounts.)

Solutions

Expert Solution

Hi

Let me know in case you face any issue. Ingore the order of commas in amount. Athough, format of answer is not provided but I have used the best format.:


Related Solutions

The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided. VIRTUAL GAMING...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided. VIRTUAL GAMING SYSTEMS Income Statement For the Year Ended December 31, 2018 Net sales $ 2,560,000 Gain on sale of land 5,000 Total revenues 2,565,000 Expenses: Cost of goods sold $ 1,630,000 Operating expenses 611,000 Depreciation expense 29,000 Interest expense 30,000 Income tax expense 76,000 Total expenses 2,376,000 Net income $ 189,000 VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2018 2017   Assets   Current assets:      Cash $...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided. VIRTUAL GAMING...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided. VIRTUAL GAMING SYSTEMS Income Statement For the Year Ended December 31, 2021 Net sales $ 2,460,000 Gain on sale of land 6,000 Total revenues 2,466,000 Expenses: Cost of goods sold $ 1,580,000 Operating expenses 601,000 Depreciation expense 19,000 Interest expense 20,000 Income tax expense 66,000 Total expenses 2,286,000 Net income $ 180,000    VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2021 2020 Assets Current assets: Cash...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided.     VIRTUAL...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided.     VIRTUAL GAMING SYSTEMS Income Statement For the Year Ended December 31, 2018   Net sales $ 2,540,000   Gain on sale of land 4,000           Total revenues 2,544,000   Expenses:        Cost of goods sold $ 1,620,000          Operating expenses 609,000          Depreciation expense 27,000          Interest expense 28,000        Income tax expense 74,000           Total expenses 2,358,000   Net income $ 186,000    VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2018 2017   Assets   Current assets:...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided.     VIRTUAL...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided.     VIRTUAL GAMING SYSTEMS Income Statement For the Year Ended December 31, 2018   Net sales $ 2,600,000   Gain on sale of land 7,000           Total revenues 2,607,000   Expenses:        Cost of goods sold $ 1,650,000          Operating expenses 615,000          Depreciation expense 33,000          Interest expense 34,000        Income tax expense 80,000           Total expenses 2,412,000   Net income $ 195,000 VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2018 2017   Assets   Current assets:      Cash...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided.     VIRTUAL...
The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided.     VIRTUAL GAMING SYSTEMS Income Statement For the Year Ended December 31, 2018   Net sales $ 2,570,000   Gain on sale of land 5,500           Total revenues 2,575,500   Expenses:        Cost of goods sold $ 1,635,000          Operating expenses 612,000          Depreciation expense 30,000          Interest expense 31,000        Income tax expense 77,000           Total expenses 2,385,000   Net income $ 190,500    VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2018 2017   Assets   Current assets:...
he income statement, balance sheets, and additional information for Virtual Gaming Systems are provided. VIRTUAL GAMING...
he income statement, balance sheets, and additional information for Virtual Gaming Systems are provided. VIRTUAL GAMING SYSTEMS Income Statement For the year ended December 31, 2021 Net sales $ 2,450,000 Gain on sale of land 7,500 Total revenues 2,457,500 Expenses: Cost of goods sold $ 1,575,000 Operating expenses 600,000 Depreciation expense 18,000 Interest expense 19,000 Income tax expense 65,000 Total expenses 2,277,000 Net income $ 180,500    VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2021 2020 Assets Current assets: Cash...
The following income statement and balance sheets for Virtual Gaming Systems are provided. VIRTUAL GAMING SYSTEMS...
The following income statement and balance sheets for Virtual Gaming Systems are provided. VIRTUAL GAMING SYSTEMS Income Statement For the year ended December 31, 2018   Net sales $3,076,000   Cost of goods sold 1,958,000            Gross profit 1,118,000   Expenses:       Operating expenses $866,000       Depreciation expense 31,000       Loss on sale of land 8,800       Interest expense 19,000       Income tax expense 56,000             Total expenses 980,800      Net income $ 137,200 VIRTUAL GAMING SYSTEMS Balance Sheets December 31   2018   2017   Assets   Current assets:       Cash $194,000...
Income statements and balance sheets data for Virtual Gaming Systems are provided below. VIRTUAL GAMING SYSTEMS...
Income statements and balance sheets data for Virtual Gaming Systems are provided below. VIRTUAL GAMING SYSTEMS Income Statements For the year ended December 31    2019    2018   Net sales $3,555,000 $3,081,000   Cost of goods sold 2,489,000 1,959,000        Gross profit 1,066,000 1,122,000   Expenses:       Operating expenses 964,000 867,000       Depreciation expense 39,000 31,500       Loss on sale of land 0 8,900       Interest expense 22,500 19,500       Income tax expense 8,900 52,500         Total expenses 1,034,400 979,400   Net income $    31,600 $   142,600 VIRTUAL GAMING SYSTEMS Balance Sheets...
Income statements and balance sheets data for Virtual Gaming Systems are provided below. VIRTUAL GAMING SYSTEMS...
Income statements and balance sheets data for Virtual Gaming Systems are provided below. VIRTUAL GAMING SYSTEMS Income Statements For the year ended December 31    2019    2018   Net sales $3,555,000 $3,081,000   Cost of goods sold 2,489,000 1,959,000        Gross profit 1,066,000 1,122,000   Expenses:       Operating expenses 964,000 867,000       Depreciation expense 39,000 31,500       Loss on sale of land 0 8,900       Interest expense 22,500 19,500       Income tax expense 8,900 52,500         Total expenses 1,034,400 979,400   Net income $    31,600 $   142,600 VIRTUAL GAMING SYSTEMS Balance Sheets...
The income statement, balance sheets, and additional information for Communication Accessories are provided.                         &
The income statement, balance sheets, and additional information for Communication Accessories are provided.                                        Communication Accessories                                                 Income Statement                               For the Year Ended December 31, 2021 Revenues $2,800,000 Gain on sale of land 4,000 Total revenues 2,804,000 Expenses: Cost of goods sold 1,900,000 Operating expenses 575,000 Depreciation expense 38,000 Interest expense 16,000 Income tax expense 63,000 Total expenses 2,592,000 Net Income $212,000                                        Communication Accessories                                                    Balance Sheets                                                     December 31 Assets 2021 2020 Current Assets:      Cash $182,000...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT