E15-11
Scully Corporation’s comparative balance sheets are presented
below.
SCULLY CORPORATION
Balance Sheets
December 31
2008
2007
Cash
$ 4,300
$ 3,700
Accounts receivable
21,200
23,400
Inventory
10,000
7,000
Land
20,000
26,000
Building
70,000
70,000
Accumulated depreciation
(15,000)
(10,000)
Total
$110,500
$120,100
Accounts payable
$ 12,370
$ 31,100
Common stock
75,000
69,000
Retained earnings
23,130
20,000
Total
$110,500
$120,100
Scully’s 2008 income statement included net sales of $100,000,
cost of goods sold of $60,000, and net income of $15,000.
Instructions