The trial balance for Domenico, Inc. as of December 31, 2014 is given below.
Additional information:
The restructuring liability is 60% current. The notes payable are due in 2018.
The company accountant erroneously failed to record the expiration of prepaid insurance of $6,000.
Noncontrolling interest in income is $12,500
No provision has been made for income taxes. Income tax expense is 30% of income from continuing operations before tax (round to nearest dollar).
There were 100,000 common shares outstanding at all times during the year.
Required: On the labelled tabs, prepare a balance sheet as of December 31, 2014 and an income statement for the year then ended. The financial statements should be in proper format.
| Accounts Payable |
|
107,619.00 |
| Accounts Receivable |
215,310.00 |
|
| Accrued Payables |
|
63,381.00 |
| Accumulated Depreciation |
|
359,445.00 |
| Additional Paid-in Capital |
|
82,568.00 |
| Administrative Expense |
226,547.00 |
|
| Allowance for Bad Debts |
|
8,400.00 |
| Cash |
169,384.00 |
|
| Common Stock |
|
20,000.00 |
| Cost of Goods Sold |
853,427.00 |
|
| Deferred Revenue (current) |
|
16,000.00 |
| Dividends |
22,000.00 |
|
| Goodwill |
180,000.00 |
|
| Interest Expense |
62,000.00 |
|
| Inventory |
472,911.00 |
|
| Investments |
148,200.00 |
|
| Loss on Discontinued Operations (net of tax) |
14,300.00 |
|
| Non-controlling interest in net assets |
|
31,600.00 |
| Notes Payable |
|
900,000.00 |
| Plant and Equipment |
1,345,377.00 |
|
| Preferred Stock |
|
10,000.00 |
| Prepaid Insurance |
36,000.00 |
|
| Restructuring Expense |
126,400.00 |
|
| Restructuring Liability |
|
100,000.00 |
| Retained Earnings, January 1, 2014 |
|
836,422.00 |
| Sales |
|
1,557,360.00 |
| Selling Expense |
143,945.00 |
|
| Supplies |
14,665.00 |
|
| Treasury Stock (common) |
62,329.00 |
|
|
|
|
|
4,092,795.00 |
4,092,795.00 |