Refer to the following financial statements for Crosby Corporation: CROSBY CORPORATION Income Statement For the Year Ended December 31, 2011 Sales $4,240,000 Cost of goods sold 2,810,000 Gross profit...


Refer to the following financial statements for Crosby Corporation:



CROSBY CORPORATION


Income Statement


For the Year Ended December 31, 2011


Sales $4,240,000


Cost of goods sold 2,810,000


Gross profit $1,430,000


Selling and administrative expense 738,000


Depreciation expense 236,000


Operating income $456,000


Interest expense 88,000


Earnings before taxes $368,000


Taxes 173,000


Earnings after taxes $195,000


Preferred stock dividends 10,000


Earnings available to common stockholders $185,000


Shares outstanding 150,000


Earnings per share $1.23


Statement of Retained Earnings


For the Year Ended December 31, 2011


Retained earnings, balance, January 1, 2011 $320,500


Add: Earnings available to common stockholders, 2011 $185,000


Deduct: Cash dividends declared and paid in 2011 $181,000


Retained earnings, balance, December 31, 2011 $324,500


Comparative Balance Sheets


For 2010 and 2011


Year-End 2010 ($) Year-End 2011 ($)


Assets


Current assets:


Cash 113,000 481,600


Accounts receivable (net) 563,000 607,000


Inventory 602,000 664,000


Prepaid expenses 60,900 30,900


Total current assets 1,338,900 1,783,500


Investments (long-term securities) 91,600 89,600


Gross plant and equipment 2,520,000 2,640,000


Less: Accumulated depreciation 1,940,000 2,176,000


Net plant and equipment 580,000 464,000


Total assets 2,010,500 2,337,100


Liabilities and Stockholders' Equity


Current liabilities:


Accounts payable 342,000 581,000


Notes payable 548,000 548,000


Accrued expenses 75,000 51,600


Total current liabilities 965,000 1,180,600


Long-term liabilities:


Bonds payable, 2011 135,000 242,000


Total liabilities 1,100,000 1,422,600


Stockholders' equity:


Preferred stock, $100 par value 90,000 90,000


Common stock, $1 par value 150,000 150,000


Capital paid in excess of par 350,000 350,000


Retained earnings 320,500 324,500


Total stockholders' equity 910,500 914,500


Total liabilities and stockholders' equity 2,010,500 2,337,200


Prepare a statement of cash flows for the Crosby Corporation.

Jun 08, 2022
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