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Here is the financial statement information on four not-for-profit clinics: Pitt

ID: 2733360 • Letter: H

Question

Here is the financial statement information on four not-for-profit clinics:

Pittman                               Rose                      Beckman            Jaffe

December 31, 2011:

Assets                  $80,000 $100,000                    g                      $150,000

Liabilities              $50,000                     d                      $75,000       j

Equity                        a                       $60,000                $45,000 $90,000

December 31, 2012:

Assets                        b                      $130,000             $180,000                   k

Liabilities              $55,000                $62,000                       h                     $80,000

Equity                  $45,000                      e                      $110,000              $145,000

During 2012:

Total revenues       c                       $400,000                      i                      $500,000

Total expenses $330,000                    f                      $360,000                    l

Fill in the missing values labeled a through l.

Alphabets are placed where missing values should be . Find the missing values.

Explanation / Answer

Computation of the missing values:-

Pittman

Rose

Beckman

Jaffe

December 31,2011

Assets

$80,000

$1,00,000

$120,000(B/F)

$150,000

Liabilities

$50,000

$40,000(B/F)

$75,000

$60,000(B/F)

Equity(A)

$30,000(B/F)

$60,000

$45,000

$90,000

December 31,2012

Assets

$100,000(B/F)

$130,000

$180,000

$225,000(B/F)

Liabilities

$55,000

$62,000

$70,000(B/F)

$80,000

Equity(B)

$45,000

$68,000(B/F)

$110,000

$145,000

During 2012

Total Revenue(C=D+E)

$345,000

$440,000

$425,000

$500,000

Total Expenses(D=C-E)

$330,000

$432,000

$360,000

$445,000

Profit for the year(E=B-A)

$15,000

$8,000

$65,000

$55,000

NOTE:-1.Profit for the year is the profit carried over in equity opening i.e., December 31,2011 to arrive at December 31,2012 Equity.So, Profit for the year is difference in closing equity and opening equity.

2.Assets=Liabilities + Equity or Liabilities=Assets-Equity or Equity=Assets-Liabillities

3.Total Revenue-Total expenses=Profit for the year carried to equity.

Pittman

Rose

Beckman

Jaffe

December 31,2011

Assets

$80,000

$1,00,000

$120,000(B/F)

$150,000

Liabilities

$50,000

$40,000(B/F)

$75,000

$60,000(B/F)

Equity(A)

$30,000(B/F)

$60,000

$45,000

$90,000

December 31,2012

Assets

$100,000(B/F)

$130,000

$180,000

$225,000(B/F)

Liabilities

$55,000

$62,000

$70,000(B/F)

$80,000

Equity(B)

$45,000

$68,000(B/F)

$110,000

$145,000

During 2012

Total Revenue(C=D+E)

$345,000

$440,000

$425,000

$500,000

Total Expenses(D=C-E)

$330,000

$432,000

$360,000

$445,000

Profit for the year(E=B-A)

$15,000

$8,000

$65,000

$55,000