Angelique Corporation

a.
Retained earnings, Dec. 31, 20X5 ₱ 450,000
Less: Retained earnings, Dec.31, 20X4 400,000
Change in Retained earnings ₱ 50,000
Add: Common dividends 25,000
Total Earnings ₱ 75,000

b.
Earnings per share = Total Earnings
Outstanding shares
= 75,000
20,000 shares
Earnings per share = ₱ 3.75
a. c.
Shadow Corporation Shadow Corporation
Income Statement Statement of Financial Position
For the Year Ended December 31, 20X5 December 31, 20X5

ASSETS
Sales ₱ 220,000 Current Assets
Less: Cost of Goods Sold (60% of sales) 132,000 Cash
Gross Profit ₱ 88,000 Accounts Receivable
Expenses Inventory
Selling and Administrative Expense ₱ 22,000 Prepaid expenses
Depreciation Expense (8%) 20,000 ¹ Total Current Assets
Interest Expense 8,000 50,000
Earnings before income tax ₱38,000 Non-Current Assets
Income Tax Expense (20%) 7,600 Gross plant
Net Income ₱ 30,400 Less: Accumulated depreciation
Total Non-Current Assets
Total Assets
¹ 8% x ₱ 250,000 = ₱ 20,000
² (10% x ₱ 20,000) + (12% x ₱ 50,000) = ₱ 8,000 LIABILITIES AND OWNER'S EQUITY
Liabilities
Outstanding shares = ₱ 10,000 Accounts payable
Earnings per share = ₱ 2.84 Notes payable
Bonds payable
Total Liabilities
b.
Shadow Corporation Owner's Equity
Statement of Retained Earnings Common stock
December 31, 20X5 Paid in capital in excess of par
Retained earnings
Total equity
Retained earnings balance, Dec. 31, 20X4 ₱ 80,000 Total Liabilities and Equity
Add: Earnings available to common stockholders, 20X4 28,400
Less: Cash dividend declared in 20X4 8,400
Retained earnings balance, Dec. 31, 20X5 ₱ 100,000 ³ ₱ 50,000 + ₱ 20,000 = ₱70,000
dow Corporation
nt of Financial Position
cember 31, 20X5

₱ 10,000
16,500
27,500
12,000
₱ 66,000

₱ 285,000
70,000 ³
215,000
₱ 281,000

AND OWNER'S EQUITY

₱ 15,000
26,000
40,000
₱81,000

₱75,000
25,000
100,000
200,000
₱281,000
a.
Maris Corporation
Statement of Cash Flows
For the Year Ended December 31, 20X1

Cash flows from operating activities:

Net income (earnings after taxes) ₱250,000
Adjustments to determine cash flow from operating
activities:
Add back depreciation 230,000
Increase in accounts receivable -10,000
Increase in inventory -30,000
Decrease in prepaid expenses 30,000
Increase in accounts payable 250,000
Decrease in accrued expenses -20,000
Total adjustments 450,000
Net cash flows from operating activities ₱700,000

Cash flows from investing activities:

Decrease in investments 10,000
Increase in plant and equipment -600,000
Net cash flows from investing activities 590,000

Cash flows from financing activities:

Increase in bonds payable 60,000
Preferred stock dividends paid -10,000
Common stock dividends paid -140,000
Net cash flows from financing activities -90,000

Net increase (decrease) in cash flows ₱20,000

a.
SM Farms
Statement of Financial Position
September 30, 20x5

ASSETS
Current Assets
Cash ₱ 16,710
Accounts receivable 22,365
Total Current Assets ₱ 39,075

Non-current Assets
Land 550,000
Barns and sheds 78,300
Citrus trees 76,650
Livestock 120,780
Irrigation system 20,125
Farm machinery 42,970
Fences and gates 33,570
Total Non-current assets 922,395
Total Assets ₱ 961,470

LIABILITIES AND SHAREHOLDER'S EQUITY

Liabilities
Accounts payable ₱ 77,095
Property taxes payable 9,135
Wages payable 1,820
Notes payable 530,000
Total Liabilities ₱ 618,050

Equity
Share capital 250,000
Retained earnings 93,420 *
Total Equity 343,420
Total Liabilities and Equity ₱ 961,470

* Total Assets ₱ 961,470

Less: Total Liabilities 618,050
Share Capital 250,000
Retained earnings ₱ 93,420
a. b.
The Tasty Bakery
Statement of Financial Position Statement of Financial Pos
August 1, 20X5

ASSETS
Current Assets Current Assets
Cash ₱ 6 940 Cash
Accounts receivable 11,260 Accounts receivable
Total ₱ 18,200 Total

Non-current Assets Non-current Assets

Supplies 7,000 Supplies
Land 67,000 Land
Building 84,000 Building
Equipment and Fixtures 44,500 Equipment and Fixtures
Total 202,500 Total
Total Assets ₱ 220,700 Total Assets

LIABILITIES AND EQUITY LIABILITIES AND EQUIT

Current Liabilities Current Liabilities
Accounts payable 16,200 Accounts payable
Salaries payable 8,900 Salaries payable
Total Current Liabilities 25,100 Total Current Liabilities

Non-current Liabilities Non-current Liabilities

Notes payable 74,900 Notes payable
Total Liabilities 100,000 Total Liabilities

Equity Equity
Share capital 80,000 Share capital
Retained earnings 40,700 Retained earnings
Total Equity 120,700 Total Equity
Total Liabilities and Equity ₱ 220,700 Total Liabilities and Equity
 b.
The Tasty Bakery The Tasty Bakery
Statement of Financial Position Statement of Cash Flows
August 3, 20X5 For the period August 1-3 20X5

ASSETS Cash flows from operating activities:

Cash payment of accounts payable
₱ 14,490 Cash purchase of supplies
11,260 Total
₱ 25,750
Cash flows from investing activities:
None
8,250
67,000 Cash flows from financing activities:
84,000 Sale of share capital
nt and Fixtures 51,700
210,950 Increase in cash
₱ 236,700 Cash balance, August 1, 2005
Cash balance, August 3, 2005
LIABILITIES AND EQUITY

7,200
8,900
rent Liabilities 16,100

ent Liabilities
74,900
91,000

105,000
40,700
145,700
bilities and Equity ₱ 236,700
 The Tasty Bakery
Statement of Cash Flows
the period August 1-3 20X5

counts payable ₱ -16,200

-1,250
₱ -17,450

25,000

₱ 7,550
₱6,940
₱ 14,490