Answer to Question #283061 in Accounting for mafi

Question

ABC Company

Balance Sheet

December 31, 20x3

ASSETS

Current assets:

Cash Br. 10, 000

Account receivable 52,500

Merchandise inventory 48, 000

Unexpired insurance 1, 800 Br.112, 300

Plant assets:

Equipment, fixture and other Br.37, 000

Accumulated depreciation 12, 800 24, 200

Total assets Br.136,500

LIABILITIES AND OWNERS’ EQUITY

Liabilities:

Accounts payable Br.16, 800

Accrued wages and commissions payable 4, 250 Br.21, 050

Capital:

Owners’ equity 115,450

Total liabilities and owners’ equity Br.136, 500

InInstructions:

2) Using the budget data given above and the schedules you have prepared, construct the fofollowing pro forma financial statements

a. Income statement for the first quarter of the year.

b. Cash budget including receipts, payments, and effect of financing

Answer 1

Let's solve it in excel

Let the income be 132000, the income tax rate is 24%