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Eagle Corp.’s 2024 income statement reported total revenues of $550,000 and total expenses of $515,000 (including $30,000 of depreciation).  The 2024 comparative balance sheet reported the following: cash- beginning balance, $50,000 and ending balance, $55,000; accounts receivable- beginning balance, $45,000 and ending balance $60,000; inventory- beginning balance, $58,000 and ending balance, $45,000; Equipment- beginning balance, $225,000 and ending balance, $200,000; accounts payable- beginning balance, $50,000 and ending balance $55,000.  In addition to this information, Eagle Corp. also reported a $10,000 loss on the sale of equipment.  Therefore, based only on this information, 2024 net cash inflow from operating activities was:

The following account balances were extracted from the accounting records of Eagle Corp. at the end of the year:   Accounts Receivable  $1,104,000 Allowance for Uncollectible Accounts (Credit)  $39,000 Uncollectible-Account Expense  $63,000   What is the net realizable value of the accounts receivable?   Answer:  $_______

John Smith wants to retire in 15 years.  He anticipates he will need $2,000,000 to retire.  John has an account that currently pays 5% compounded annually.  If John has $750,000 in his account today how much additional money must he deposit in the account today to have $2,000,000 when he retires (use the appropriate factor table to answer the question and round the the nearest dollar).  Answer:  $_______

Eagle Corp. purchased land, buildings and equipment for 900,000. The land has been appraised at $250,000, the buildings at $650,000 and the equipment at $100,000. The journal entry to record this transaction will include a debit to buildings for: (round to the nearest dollar): Answer:  $_______

A company purchased bonds on July 1, 2024, for $274,885 and intend to hold the bonds until maturity. This price represents a market rate of 6% on bonds that have a face amount of $250,000, have a stated rate of 8%, pay semiannual interest, and mature in 6 years. Calculate the amortized cost of the bonds as of December 31, 2024 (round to the nearest dollar).   Answer:  $_______

On January 1, 2024, the beginning balance in the Warranty Liability account was $65,000. Cash sales for the year totaled $900,000 and credit sales totaled $300,000.  The company estimates warranty costs at 6% of sales. During the year, $75,000 was paid to settle warranty claims. As a result of these transactions, what is the amount of warranty liability that is reported on the company’s 2024 year end balance sheet?   Answer:  $_______

Eagle Corp. acquired 30% interest in the voting stock of Bobcat Inc. for $650,000.  During the first year, Bobcat Inc. reported net income of $240,000 and paid cash dividends totaling $60,000.  What amount will Eagle Corp. report on its income statement related to its investment in Bobcat Inc?

On January 1, 2024, the beginning balance in the Warranties Liability account was $95,000. Cash sales for the year totaled $800,000 and credit sales totaled $500,000.  The company estimates warranty costs at 5% of sales. During the year, $85,000 was paid to settle warranty claims. As a result of these transactions, what is the amount of warranty liability that is reported on the company’s 2024 year-end balance sheet?   Answer:  $_______

Eagle Corp. exchanged an old machine with a book value of $39,000 and a fair market value of $35,000, and paid $10,000 cash for a similar new machine.  At what amount should Eagle Corp. record the new machine on their books and what amount of gain/loss should the company record for the old asset that was exchanged? New Machine Gain/Loss Old Machine A) $45,000  $4,000 loss B) $49,000 $4,000 gain C) $49,000 $4,000 loss D) $45,000  $4,000 gain E)  None of the above.  

Eagle Corp. made an ordinary repair to its lab equipment at a cost of $500 and purchased a motor for $3,000.  Eagle Corp.’s accountant debited the asset account for $3,500.  Is the accounting treatment an error?  If it is an error what is the effect on assets and net income for the year the expenditures were made?