?(US$ millions)
?12/31/2016
?12/31/2015
?12/31/2014
?12/31/2013
Net income
$13,090
$12,050
$11,000
$10,070
Depreciation expense
6,470
6,350...
?(US$ millions)
?12/31/2016
?12/31/2015
?12/31/2014
?12/31/2013
Net income
$13,090
$12,050
$11,000
$10,070
Depreciation expense
6,470
6,350
5,050
3,950
Changes in working capital
1,200
2,290
2,440
950
Cash from operating activities
$20,760
$20,690
$18,490
$14,970
Capital expenditures
$(16,000)
$(14,510)
$(14,040)
$(12,260)
Cash from investing activities
$(16,000)
$(14,510)
$(14,040)
$(12,260)
Interest and financing cash flow items
$(300)
$(300)
$(380)
$50
Total cash dividends paid
(3,560)
(2,820)
(2,520)
(2,250)
Issuance? (retirement) of stock
(8,010)
(1,520)
(3,590)
(4,450)
Issuance? (retirement) of debt
1,500
(80)...
Lansing Company’s 2015 income statement and selected balance
sheet data (for current assets and current liabilities)...
Lansing Company’s 2015 income statement and selected balance
sheet data (for current assets and current liabilities) at December
31, 2014 and 2015, follow. LANSING COMPANY Income Statement For
Year Ended December 31, 2015 Sales revenue $ 64,000 Expenses Cost
of goods sold 19,000 Depreciation expense 4,500 Salaries expense
8,000 Rent expense 2,500 Insurance expense 1,900 Interest expense
1,800 Utilities expense 1,100 Net income $ 25,200 LANSING COMPANY
Selected Balance Sheet Accounts At December 31 2015 2014 Accounts
receivable $ 3,700...
14. Accrued salaries payable of $51,000 were not recorded at
December 31, 2014. This error got...
14. Accrued salaries payable of $51,000 were not recorded at
December 31, 2014. This error got counter-balanced when cash
salaries of $51,000 were paid in 2015. The error was never
discovered or corrected. The effect of the error would cause
A. 2014 net income to be overstated $51,000 and December 31,
2015 retained earnings to be understated $51,000
B. December 31, 2014 retained earnings to be overstated $51,000
and December 31, 2015 retained earnings to be correct.
C. 2014 net...
Pell Company acquires 80% of Demers Company for $500,000 on
January 1, 2014. Demers reported common...
Pell Company acquires 80% of Demers Company for $500,000 on
January 1, 2014. Demers reported common stock of $300,000 and
retained earnings of $210,000 on that date. Equipment was
undervalued by $30,000 and buildings were undervalued by $40,000,
each having a 10-year remaining life. Any excess consideration
transferred over fair value was attributed to goodwill with an
indefinite life. Based on an annual review, goodwill has not been
impaired.
Demers earns income and pays dividends as follows:
2014 2015 2016...
1. Apple LLC owns equipment with a $250,000 adjusted basis which
was purchased on 3/14/2015 for...
1. Apple LLC owns equipment with a $250,000 adjusted basis which
was purchased on 3/14/2015 for $435,000. Determine the amount and
character of Apple LLC's gain or loss if the equipment was sold on
4/1/2017 with proceeds of: (a) $375,000, (b) $525,000, (c)
$220,000.
2. Brunswick LLC purchased manufacturing equipment on 5/19/2015
for $600,000. Brunswick has taken depreciation of $330,000 on the
equipment and it has an adjusted basis of $270,000 when it is sold
on 2/15/2017 for $450,000. (a)....
1. Capital One LLC has a manufacturing warehouse that was
purchased in 1983 for $125,000. Capital...
1. Capital One LLC has a manufacturing warehouse that was
purchased in 1983 for $125,000. Capital One LLC claimed accelerated
depreciation on the warehouse of $120,000 and straight-line
depreciation would have been $113,000. In 2017 Capital One LLC
sells the warehouse for $535,000. Calculate the gain on the sale of
the warehouse including a breakdown of the character and taxation
of the gain.
2. Serena LLC sold the following 1231 assets on June 19,
2017:
Description
Cost
Date Acquired
Net...