Ian Kitzel Financial Accounting HW#3: AP 3-1 through AP 3-4 AP 3-1 (I did all I understood 1) DR Exp.

->A/P 30000* ->Int. 5400 Asset 28000 ->Cash 28000 Revenue 3000 ->Cash 3000 Revenue 10500 ->Cash 10500 A/P 1800 ->Cash 1500 Asset 8000* ->A/P Revenue 13200 ->Cash 13200 Revenue 17900 ->Cash 17900 A/R 2000 ->Cash 2000 Supplies 1200 ->Cash 1200 Supplies 2800* ->A/P ->A/P Revenue 20000 ->Cash 20000 Cash 4000 ->A/R *Indicates an adjusting entry Cash DR 3000 10500 13200 17900 20000 4000 CR 28000 1500 1200 2000 Assets DR & Exp. 28000 8000* 1200 2800* CR 30000* how to do) CR 30000*

8000*

2600 200*

4000

Revenue DR

CR 3000 10500 13200 17900 20000

Liab. DR

CR 30000* 35400 1800 2000

8000* 2600 200* 4000

AP 3-2 1) Current Assets = $1,167,030,000 Assets = Cash, investing, inventory, A/R, prepaid exp. deference of income tax

Current:Total = .546 Current Liabilities = $408,955,000 Liabilities = A/N/P, taxes, rent, unredeemed gift, portion of defered lease credits, other Current:Total = .731 3) Adjusting Entry Liabilities = Accrued: comp. and payroll taxes, rent, income/other taxes 4) Retained Earnings = +$69,888 5) Net Income = $169,022,000 6) Dividends Paid = $1,409,495,000 (?) 2) AP 3-3 1) Current Assets = $264,809,000 Assets = Same as above. Current:Total = .542 2) Current Liabilities = $92,030,000 Liabilities = Same as above. Current:Total = .684 3) Adjusting Entry Liabilities = Same as above. 4) Retained Earnings = ($793,000) 5) Net Income = $127,303,000 6) Dividends Paid = ? AP 3-4 1. AE retains higher current assets:total current assets ratio. This could mean it wil be more productive and/or profitable than The Buckle should this ratio be greater. 2. AE also retains a higher current laibilities:total current liabilities ratio. This could mean liabilities have an increased liklihood of becoming a burden, p erhaps enough so such that the company cannot pay them. 3. I couldn't determine the dividends paid out.