Accounting

Answer the following:  

1. How does the automated system improve the efficiency and timeliness of financial 

statements?  

  

2. How does the automated system enhance the relevance of the information provided?  

  

3. How does the automated system enhance the decision making process?  

Select the correct answer and show your calculations for the following questions: 

  

4. At the beginning of the year, a company’s balance sheet reported the following balances: Total 

Assets = $125,000; Total Liabilities = $75,000; and Owner’s Capital = $50,000. During the year, 

the company reported revenues of $46, 000 and expenses of $30, 000. In addition, owner’s 

withdrawals for the year totaled $20,000. Assuming no other changes to owner’s capital, the 

balance in the owner’s capital account at the end of the year would be: 

A. $66,000 

B. $86,000 

C. $(4,000) 

D. $46,000 

E. $54,000 

 

5. A company had average total assets of $982,450 and net income of $190,700 and reports 

various segment information. Segment A had average total assets of $437,800 and segment 

operating income of $98,230. Segment B had average assets of $151,200 and segment operating 

income of $16,190. Calculate the segment return on assets for Segment A. 

A. 19.4% 

B. 22.4% 

C. 26.1% 

D. 10.7% 

E. 20.2% 

   

6. Use the information in the adjusted trial balance presented below to calculate current assets for 

Jones Company:   

   

 Account Title                                 Dr.                            Cr.

Cash                                             23,000   

Accounts receivable                  16,000   

Prepaid insurance                       6,600   

Equipment                                100,000   

Accumulated Depreciation‐Equipment                   50,000 

Land                                              95,000   

Accounts payable                                                        17,000 

Interest payable                                                             2,400 

Unearned revenue                                                         5,000 

Long‐term notes payable                                           30,000 

J. Jones,  Capital                                                       136,200 

Totals                                           240,600                 240,600

 

A. $21,200 

B. $45,600 

C. $24,400 

D. $95,600 

E. $41,200