The income statement for the year ended December 31, 2020, for Sandhill Manufacturing Company contains the following condensed information. SANDHILL CO. INCOME STATEMENT Revenues $ 6,559,000 Operating expenses (excluding depreciation) $4,973,000 Depreciation expense 875,000 5,848,000 Income before income tax 711,000 Income tax expense 319,950 Net income $ 391,050 Included in operating expenses is a $22,000 loss resulting from the sale of machinery for $265,000 cash. The company purchased machinery at a cost of $753,000. Sandhill reports the following balances on its comparative balance sheets at December 31. SANDHILL CO. COMPARATIVE BALANCE SHEETS (PARTIAL) 2020 2019 Cash $624,550 $131,500 Accounts receivable 780,000 621,500 Inventory 843,500 869,000 Accounts payable 529,000 508,000 Income tax expense of $319,950 represents the amount paid in 2020. Dividends declared and paid in 2020 totaled $195,000. Prepare the statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e. g. -15,000 or in parenthes

Abond is issued for less than its face value. which statement most likely would explain why? a. the bond's contract rate is higher than the market rate at the time of the issue. b. the bond's contract rate is the same as the market rate at the time of the issue. c. the bond's contract rate is lower than the market rate at the time of the issue. d. the bond isn't secured by specific assets of the corporation.

Presented below is a list of possible transactions. analyze the effect of the 18 transactions on the financial statement categories indicated. transactions assets liabilities owners’ equity net income 1. purchased inventory for $80,000 on account (assume perpetual system is used). 2. issued an $80,000 note payable in payment on account (see item 1 above). 3. recorded accrued interest on the note from item 2 above. 4. borrowed $100,000 from the bank by signing a 6-month, $112,000, zero-interest-bearing note. 5. recognized 4 months’ interest expense on the note from item 4 above. 6. recorded cash sales of $75,260, which includes 6% sales tax. 7. recorded wage expense of $35,000. the cash paid was $25,000; the difference was due to various amounts withheld. 8. recorded employer’s payroll taxes. 9. accrued accumulated vacation pay. 10. recorded an asset retirement obligation. 11. recorded bonuses due to employees. 12. recorded a contingent loss on a lawsuit that the company will probably lose. 13. accrued warranty expense (assume expense warranty approach). 14. paid warranty costs that were accrued in item 13 above. 15. recorded sales of product and related service-type warranties. 16. paid warranty costs under contracts from item 15 above. 17. recognized warranty revenue (see item 15 above). 18. recorded estimated liability for premium claims outstanding.

Your father offers you a choice of $120,000 in 11 years or $48,500 today. use appendix b as an approximate answer, but calculate your final answer using the formula and financial calculator methods. a-1. if money is discounted at 11 percent, what is the present value of the $120,000?