Task Team of FUNdaMENTAL aCCOUNtIng School of Business. Sun Yat-sen University Lesson 9 Financial Statements Exercises 1. The following financial statement information is known about five separate proprietorships: Company Company CompanyCompany Company E December 31. 2001 Assets 66,000$28,500$89,000 70.000 Liabilities 32.000 22.500 40.000 35,000 20.000 December 31. 2002 30.000 91.000 66.000 28.000 23,000 41.000 5,000 During year 2002 Owner investments 3,000 3.000 5.000 Net income(loss) 15,0 (7,000 20,000 Owner withdrawals 8.000 5,500 2.000 10.000 Required D)Answer the following questions about Company A A. What is the equity amount on December 31, 2001? B. What is the equity amount on December 31, 2002? C. what is the amount of assets on December 3 1. 2002? 2)Answer the following questions about Company B A. What is the equity amount on December 3 B. What is the equity amount on december 31 02 C. What is net income(loss) for year 2002? 3)Calculate the amount of liabilities for Company C on December 31, 2002 4)Calculate the amount of income(loss)for Company D during year 2002 5)Calculate the amount of assets for Company E on December 31, 2001 2. A new startup company often engages in the following transactions in its first year of operations. Classify these transactions in one of the three major categories of an organizations business activities C Op 1)Owners investment in the business 5)Performing services for customers 2)Purchasing a new server 6)Collecting cash from customers 3)Selling used equipment 7)Renting warehouse spac 4)Borrowing cash from a bank 8)Paying telephone billTask Team of FUNDAMENTAL ACCOUNTING School of Business, Sun Yat-sen University Lesson 9 Financial Statements Exercises 1. The following financial statement information is known about five separate proprietorships: Company A Company B Company C Company D Company E December 31, 2001 Assets $66,000 $28,500 $89,000 $70,000 ? Liabilities 32,000 22.500 40,000 35,000 20,000 December 31, 2002 Assets ? 30,000 91,000 66,000 60,000 Liabilities 28,000 23,000 ? 41,000 15,000 During year 2002 Owner investments 2,000 3,000 0 3,000 5,000 Net income (loss) 15,000 ? (7,000) ? 20,000 Owner withdrawals 8,000 5,500 3,000 2,000 10,000 Required 1) Answer the following questions about Company A: A. What is the equity amount on December 31, 2001? B. What is the equity amount on December 31, 2002? C. What is the amount of assets on December 31, 2002? 2) Answer the following questions about Company B: A. What is the equity amount on December 31, 2001? B. What is the equity amount on December 31, 2002? C. What is net income (loss) for year 2002? 3) Calculate the amount of liabilities for Company C on December 31, 2002. 4) Calculate the amount of income (loss) for Company D during year 2002. 5) Calculate the amount of assets for Company E on December 31, 2001. 2. A new startup company often engages in the following transactions in its first year of operations. Classify these transactions in one of the three major categories of an organization’s business activities. A. Financing B. Investing C. Operating 1) Owners investment in the business. 5) Performing services for customers. 2) Purchasing a new server. 6) Collecting cash from customers. 3) Selling used equipment. 7) Renting warehouse space. 4) Borrowing cash from a bank. 8) Paying telephone bill