Condensed balance sheet and income statement data for Clarence Corporation appear below.
|
Clarence Corporation
Balance Sheets
December 31
|
|
|
2014
|
|
2013
|
|
2012
|
| Cash |
|
$ 25,000 |
|
$ 20,000 |
|
$ 18,000 |
| Receivables (net) |
|
50,000 |
|
45,000 |
|
48,000 |
| Other current assets |
|
90,000 |
|
95,000 |
|
64,000 |
| Investments |
|
75,000 |
|
70,000 |
|
45,000 |
| Plant and equipment (net) |
|
400,000 |
|
370,000 |
|
358,000 |
|
|
$640,000 |
|
$600,000 |
|
$533,000 |
| Current liabilities |
|
$70,000 |
|
$75,000 |
|
$70,000 |
| Long-term debt |
|
80,000 |
|
85,000 |
|
50,000 |
| Common stock, $10 par |
|
345,000 |
|
315,000 |
|
300,000 |
| Retained earnings |
|
145,000 |
|
125,000 |
|
113,000 |
|
|
$640,000 |
|
$600,000 |
|
$533,000 |
|
Clarence Corporation
Income Statement
For the Years Ended December 31
|
|
|
2014
|
|
2013
|
| Sales revenue |
|
$740,000 |
|
$700,000 |
| Less: Sales returns and allowances |
|
40,000 |
|
60,000 |
| Net sales |
|
700,000 |
|
640,000 |
| Cost of goods sold |
|
420,000 |
|
400,000 |
| Gross profit |
|
280,000 |
|
240,000 |
| Operating expenses (including income taxes) |
|
238,000 |
|
208,000 |
| Net income |
|
$ 42,000 |
|
$ 32,000 |
Additional information:
| 1. |
|
The market price of Clarence's common stock was $4, $5, and $8 for 2012, 2013, and 2014, respectively. |
|
|
2. All dividends were paid in cash.
|