Prepare a schedule explaining the change in retained

Assignment Help Finance Basics
Reference no: EM13479846

Preparing a balance sheet and income statement. The accounting records of Jet Away Airlines reveal the following for the year ended September 30, 2008 (amounts in thousands):

 

September 30

Balance Sheet Items

2008

2007

Accounts Payable . . . . . . . . . . . . . . . . .

$ 157,415

$ 156,755

Accounts Receivable . . . . . . . . . . . . . . .

88,799

73,448

Cash . . . . . . . . . . . . . . . . . . . . . . . . . .

378,511

418,819

Common Stock . . . . . . . . . . . . . . . . . . .

352,943

449,934

Current Maturities of Long-Term Debt . . .

11,996

7,873

Inventories . . . . . . . . . . . . . . . . . . . . .

50,035

65,152

Long-Term Debt . . . . . . . . . . . . . . . . . .

623,309

871,717

Other Current Assets . . . . . . . . . . . . . . .

56,810

73,586

Other Current Liabilities . . . . . . . . . . . .

681,242

795,838

Other Noncurrent Assets . . . . . . . . . . . .

4,231

12,942

Other Noncurrent Liabilities . . . . . . . . . .

844,116

984,142

Property, Plant, and Equipment (net) . . . .

4,137,610

5,008,166

Retained Earnings . . . . . . . . . . . . . . . .

2,044,975

2,385,854

 


Income Statement Items

 


For the Year Ended
September 30, 2008

Fuel Expense . . . . . . . . . . . . . . .

 

$ 892,415

Interest Expense . . . . . . . . . . . .

 

22,883

Interest Income . . . . . . . . . . . . .


14,918

Maintenance Expense . . . . . . . . .


767,606

Other Operating Expenses . . . . . .


1,938,753

Sales Revenue . . . . . . . . . . . . . .


4,735,587

Salaries and Benefits Expense . . . .

 

1,455,237

a. Prepare a comparative balance sheet for Jet Away Airlines as of September 30, 2008, and September 30, 2007 in the format used in Exhibit 1.1. Classify each balance sheet item into one of the following categories: current assets, noncurrent assets, current liabilities, noncurrent liabilities, and shareholders' equity.

b. Prepare an income statement for Jet Away Airlines for the year ended September 30, 2008. Separate income items into revenues and expenses.

c. Prepare a schedule explaining the change in retained earnings between September 30, 2007, and September 30, 2008.

Reference no: EM13479846

Questions Cloud

Explain the different risk-return tradeoff from same class : explain why the very assets that regulators have deemed safe for capital requirement calculations for banks have been
In an essay replete with examples compare and contrast the : formal essayin an essay replete with examples compare and contrast the two subjects in any one of the following
Compute the amount of cash paid to suppliers of inventory : analyzing changes in inventory and accounts payable. ericsson a swedish firm specializing in communication networks
Compute the cost of inventory either purchased or : analyzing changes in inventory. boeing company a u.s. airplane manufacturer reported a balance of 8105 million in
Prepare a schedule explaining the change in retained : preparing a balance sheet and income statement. the accounting records of jet away airlines reveal the following for
What are some of the considerations that will apply to this : thenbsp minimumnbsp wordsnbsp countnbsp havenbsp tonbsp benbsp respectednbsp andnbsp thenbsp entirenbsp papernbsp
A us consumer products manufacturer appears below for the : selected income statement information for colgate palmolive company a u.s. consumer products manufacturer appears
This is graduate school assignments please read two : this is graduate school assignments. please read two articles list below links given below and write one page summary
A chinese computer manufacturer appear next for the years : selected balance sheet amounts for lenovo group inc. a chinese computer manufacturer appear next for the years ended

Reviews

Write a Review

Finance Basics Questions & Answers

  Calculation of total revenues

The Gold Rush Mining Corporation is concerned about short-term volatility in its revenues. Gold currently sells for $300 an ounce, but value is volatile and could fall as low as $280 or rise as high as $320 in the next month.

  Question 1 interest first city bank pays 6 simple interest

question 1 interest first city bank pays 6 simple interest on its savings account balances whereas second city bank

  What is the firm depreciation and amortization expense

The company's costs (excluding depreciation and amortization) amounted to 61 percent of sales, and it had interest expenses of $392,168. What is the firm's depreciation and amortization expense if its tax rate was 34 percent?

  Computation of the price of the forward contract

Computation of the price of the forward contract and position and what are the forward price and the value of the short position in the forward contract

  Calculate the annualized return

From last three years, the common stock of Makkeny Corporation sold for $63.29 on the NYSE. Today, the current share price for the firm is $38.61. The company paid no dividends over this period of time and Makkeny executed a two for one stock split 2..

  Compute the value of the bond

A company has a bond issue outstanding that pays $150 annual interest plus $1000 at maturity. The bond has a maturity of 10 years. Compute the value of the bond when the interest rate is 5%, 9%, and 13%. Describe the pattern and the type of risk t..

  Assume that springfields economy moves into a recession and

the widget industry in springfield is competitive with numerous buyers and sellers. consumers dont differentiate among

  Find the option price using a replicating portfolio

We have a call option c with maturities 3,0,0,0 (respective to the stock maturities) with a .25 probability. How do we find the option price using a replicating portfolio?

  What are some of the common barriers to entry for a firm

What are some of the common barriers to entry for a firm entering a new country for business? How does this vary from country to country?

  Which one should be chosen based on the npv

What is the NPV for the two systems? (Enter negative amounts using negative sign, e.g. -45.25. Round answers to 2 decimal places, e.g. 15.25.)

  What is the price per share of nogrowth stock

NoGrowth Corporation currently pays a dividend of $0.51 per quarter, and it will continue to pay this dividend forever. what is the price per share of NoGrowth stock if the firms equity cost of capital is 17.9%?

  Estimating the break even point

A corporation produces glue in eight ounce tubes. The total fixed costs for the production of the glue are $477,999.50.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd