eBook Exercise 4-12 Balance Sheet Formats The following information is based on
ID: 2818997 • Letter: E
Question
eBook Exercise 4-12 Balance Sheet Formats The following information is based on the balance sheet of Aracel, a Brazilian manufacturer of paper pulp, for Year 6. Aracel applies U.S. GAAP and reports its results in thousands of U.S. dollars. (Adapted from the financial statements of Aracruz Celulose.) Inventories Other Current Assets Other Long-Term Liabilities Property, Plant, and Equipment, net Retained Earnings Cash and Short-Term Investments. 202,704 132,782 350,761 2,151,212 1,293,301 ....579,643 ...192,035 Other Noncurrent Assets ..Explanation / Answer
Exercise 4-12
You added current liabilities to total NON-current liabilities. It is asking for only NON-current liabilities.
Total non-current liabilities = Other long-term liabilities + Long-term debt = 350761 + 1155050 = 1505811
Exercise 4-15
Exercise 4 - 17
Year 11
Total assets = 3357 + 1897 = 5254 (instead of 5524)
Year 10
Retained earnings = Retained earnings of Year 9 + (Net income - Dividends) of year 10
or, Retained earnings = 553 + (252 - 66) = 739
Total shareholders' equity = 711 + 739 = 1450
Total liabilities = Total liabilities and equity - Total shareholders' equity = 4968 - 1450 = 3518
Noncurrent liabilities = Total liabilities - current liabilities = 3518 - 2610 = 908
Current liabilities (b) 1755.2 Non current liabilities (c) (you took current assets) 3540.7 Shareholders' Equity (a - b - c) 11300.6 Total liabilities and Shareholders Equity (a) 16596.5Related Questions
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