George Bailey Corporation experienced a fire on December 31, 2013, in which its financial records were partially destroyed. It has been able to salvage some of the records and has ascertained the following balances.
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|
December 31, 2013
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December 31, 2012
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|
Cash
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$ 30,000
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$ 10,000
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|
Receivables (net)
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72,500
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126,000
|
|
Inventory
|
200,000
|
180,000
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|
Accounts payable
|
50,000
|
90,000
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|
Notes payable
|
30,000
|
60,000
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|
Common stock, $100 par
|
400,000
|
400,000
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|
Retained earnings
|
113,500
|
101,000
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Additional information:
1. The inventory turnover is 3.5 times.
2. The return on common stockholders' equity is 24%. The company had no additional paid-in capital.
3. The receivables turnover is 8.8 times.
4. The return on assets is 20%.
5. Total assets at December 31, 2012, were $605,000.
Instructions
Compute the following for George Bailey Corporation.
(a) Cost of goods sold for 2013.
(b) Net sales (credit) for 2013.
(c) Net income for 2013.
(d) Total assets at December 31, 2013.