The Booth Company’s sales are forecasted to increase from $1,000 in 2007 to $2,000 in 2008. Here is the December 31, 2007, balance sheet:
The Booth Company’s sales are forecasted to increase from $1,000 in 2007 to $2,000in 2008. Here is the December 31, 2007, balance sheet:Cash $ 100 Accounts payable $ 50Accounts receivable 200 Notes payable 150Inventories 200 Accruals 50Net fixed assets 500 Long-term debt 400Common stock 100Retained earnings 250Total assets $1,000 Total liabilities and equity $1,000Booth’s fixed assets were used to only 50% of capacity during 2007, […]
