Answer Happy

1. Harbor City Corporation’s end-of-year balance sheet consisted of the following amounts:
​
Cash
$ 15,000
Accounts receivable
$50,000
Property, plant, and equipment
70,000
Long-term debt
40,000
Capital stock
100,000
Accounts payable
20,000
Retained earnings
?
Inventory
35,000
​
What amount should Harbor City report on its balance sheet for total assets?
a.
$110,000
b.
$155,000
c.
$170,000
d.
$190,000
2. Harbor City Corporation’s end-of-year balance sheet consisted of the following amounts:
​
Cash
$ 15,000
Accounts receivable
$50,000
Property, plant, and equipment
70,000
Long-term debt
40,000
Capital stock
100,000
Accounts payable
20,000
Retained earnings
?
Inventory
35,000
​
What is Harbor City’s retained earnings balance at the end of the current year?
a.
$10,000
b.
$110,000
c.
$160,000
d.
$170,000
3. Murphy Corporation’s end-of-year balance sheet consisted of the following amounts:
​
Cash
$ 35,000
Accounts receivable
$46,000
Property, plant, and equipment
69,000
Long-term debt
41,000
Capital stock
107,000
Accounts payable
22,000
Retained earnings
?
Inventory
33,000
​
​
What is Murphy’s owners’ equity balance at the end of the current year?
a.
$3,000
b.
$120,000
c.
$63,000
d.
$173,000
4. Marcos Company reported the following items on its financial statements for the year ending December 31, 2017:
​
Sales
$560,000
Cost of goods sold
$410,000
Salary expense
40,000
Interest expense
30,000
Dividends
20,000
Income tax expense
25,000
​
How much will be reported as net income on Marcos’ balance sheet at December 31, 2017, if this is the first year of operations?
a.
$55,000
b.
$65,000
c.
$85,000
d.
Not enough information is provided.