At the beginning of the year, Morgan Company had total assets of $425,000 and total liabilities of$260,000.

Required:

If, during the year, total assets increased by $73,000 and total liabilities increased by$32,000, what is the amount of total stockholders’ equity at the end of the year?

Contrast the effects of a cash dividend and a stock dividend on total assets, total liabilities, and total stockholders' equity.

Henderson Company had beginning-of-the-year total assets of $360,000 and total liabilities of$216,000.

If during the year total assets increased by $18,000 and total liabilities increased by$48,000, what is the end-of-year total stockholders’ equity?

College Spirit sells sportswear with logos of major universities. At the end of 2019, the following balance sheet account balances were available.

Required:

Comment on College Spirit’s liquidity as of December 31, 2019.

Lynn Doyle is the owner and operator of Star LLC, a motivational consulting business. At the end of its accounting period, December $31$, $2009$, Star has assets of $\$750,000$ and liabilities of $\$293,000$. Using the accounting equation, determine the following amounts:

a. Owner’s equity, as of December $31$, $2009$. b. Owner’s equity, as of December $31$, $2010$, assuming that assets increased by $\$75,000$ and liabilities decreased by $\$30,000$ during $2010$.

At the beginning of the year, Gilles Company had total assets of $800,000 and total liabilities of$300,000. If total assets increased $150,000 during the year and total liabilities decreased$60,000, what is the value of owner’s equity at the end of the year?

At the beginning of the year, Gilles Company had total assets of $800,000 and total liabilities of$300,000. During the year, total liabilities increased $100,000 and owner’s equity decreased$70,000. What is the value of total assets at the end of the year?

On December 31, 2016, at the end of Larry's Used Cars' first year of operations, the accounts receivable were $53,600. The company estimates that$1,200 of the year-end receivables will not be collected. Accounts receivable in the 2016 balance sheet will be valued at

a. $53,600

b.$54,800

c. $52,400

d.$1,200

For each of the following, (I) identify the account as an asset, liability, equity, revenue, or expense; (2) identify the normal balance of the account; and (3) enter debit or credit to identify the kind of entry that would increase the account balance.

i. Services Revenue

For the most recent year, Grant Company reported revenues of $182,300, cost of goods sold of$108,800, inventory of $8,500, salaries expense of$48,600, rent expense of $12,000, and cash of$12,300. What was Grant’s net income?

a. $9,400

b.$12,900

c. $21,400

d.$24,900

Tummy foods purchased a 2-year fire and extended coverage insurance policy on August 1, 2021 and charged the $4,200 premium to prepaid insurance. At its December 31, 2021 year-end tummy foods would record what adjusting entry?

Brock Hahn is the owner and operator of Dream-It LLC, a motivational consulting business. At the end of its accounting period, December 31, 2015, Dream-It has assets of $\$ 780,000$ and liabilities of $\$ 150,000$. Using the accounting equation, determine the following amounts: a. Owner's equity as of December $31,2015$. b. Owner's equity as of December 31,2016, assuming that assets increased by $\$ 90,000$ and liabilities increased by $\$ 25,000$ during 2016.

At December 31, Marker reported the following items: cash, $7,500; inventory,$3,900; accounts payable, $5,900; accounts receivable,$3,100; common stock, $6,000; property, plant, and equipment,$10,500; interest payable, $1,600; retained earnings,$11,500.

Refer to the information for Marker above. What is the total of Marker’s current assets?

a. $12,100

b.$13,700

c. $14,500

d.$25,000

Which of the following statements is incorrect? A. The practice of management accounting is fairly flexible. B. The information gathered from management accounting is not required by law. C. Management accounting focuses mainly on the internal user. D. Reports produced using management accounting must follow GAAP.