McCain Company

Balance Sheet
December 31,2010
* in $
Assets Liabilities
Current Assets Current Liabilities
Cash 4,500
Account Receivable 7,650
7,400
Less: Allowance for doubtfull accounts 250
Inventory 10,000
Prepaid Item:
Office supplies 750
1,650
Prepaid insurance 900
Total Current Asset 23,550 Long-Term Liabilities

Long-term investment
Sinking fund for bond retirement 2,400
Investment in bond held to maturity 4,000
Total Long-term investment 6,400
Property, Plant and Equiptment Stockholders'Equity
CostAcc. Depreciation
Book Value Contributed Capital
Land 10,500 - 10,500
Equipment 14,000 4,250 9,750
Building 17,500 5,500 12,000
Total Property, Plant and Equiptment 32,250

Retained Earning
Treasury Stock (at cost)

Total Assets 62,200 Total Liabilities and Stoc

Liabilities
Current Liabilities
Account Payable 5,650
Accrued Wages 1,950
Interest Payable 1,500
Income Tax Payable 3,000
Dividends Payable 750
Total Current Liabilities 12,850

Long-Term Liabilities
Bond Payable 130,000
Less: Disc on Bond Payable 900 12,100
Notes Payable 8,000
Total Long-term Libilities 20,100
32,950
Stockholders'Equity
Contributed Capital
Prefered Stock 5,000
Additional Paid in Capital on P/S 1,000
Common Stock 6,750
Additional Paid in Capital on C/S 3,500
Total Contributed Capital 16,250
Retained Earning 14,150
Treasury Stock (at cost) (1,150)
Total Stockholders'Equity 29,250
Total Liabilities and Stockholders'Equity 62,200
 Martinez Corporation
Statement of Change in Stockholders'Equity
For Year Ended December 31, 2010
* in $
Additional Acc. Other
Common Retained
Paid in Comprehensi Total
Stock Earning
Capital ve Income

Balance, Januari 1, 2010 50,000 80,000 140,000 30,000 300,000

Common Stock issued 15,000 45,000 60,000
Net Income 26,300 26,300
Cash Dividen Paid (15,600) (15,600)
Unrealized decrease in (3,000) (3,000)
value of investment
65,000 125,000 150,700 27,000 367,700
 The Samba Company
Statement of Retained Earning
For Year Ended December 31, 2010
* in $
Retained Earning, January 1, 2010 300,000
Add: Prior Adjustment, correction of overstated 30,000
2008 depreciation
Adjusted retained earning, January 1, 2010 330,000
Add: Net Income 90,000
420,000
Less: Cash Dividend, $5/ shares 40,000
Retained Earning, December 31, 2010 380,000
 Biden Company
Statement of Cash Flow
For Year Ended December 31, 2010
* in $
Net Cash Flow from Operating Activities
Net Income 42,000
Add:
Depreciation expense 10,000
Increase in salaries payable 18,000
Decrease in account receivable 21,000
Less:
Decrease in account payable 19,000
Increase in inventory 6,000
Net cash provided by operating activities 66,000

Net Cash Flow from Investing Activities

Proceeds from sale of patent rights 27,000
Payment for purchase of land and building 60,000
Net cash provided by investing activities (33,000)

Net Cash Flow from Financing Activities

Payment of dividends 24,000
Issuance 10 year bond 20,000
Net cash provided by financing activities (4,000)

Net increase in cash 29,000