Chew Corporation prepares its statement of cash flows using the indirect method of reporting operating activities.Net income for the 2016 fiscal year was $1,250,000. Depreciation expense of $140,000 was included withoperating expenses in the income statement. The following information describes the changes in current assets andliabilities other than cash:$152,000Increase in accounts receivableDecrease in inventories108,000Decrease prepaid expensesDecrease in salaries payableIncrease in income taxes payable62,00030,00044,000Required:Calculate cash flows from operating activities for 2016.

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Answered: Chew Corporation prepares its statement…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Crane Company reported net income of $148,500. For 2020, depreciation was $45,100, and the company reported a gain on sale of investments of $12,100. Accounts receivable increased $25,100 and accounts payable decreased $23,100.Compute net cash provided by operating activities using the indirect method. Net cash provided by operating activities
Curwen Inc. reported net cash flow from operating activities of $145,700 on its statement of cash flows for a recent year ended December 31. The following information was reported in the Cash flows from operating activities section of the statement of cash flows, using the indirect method: Decrease in income taxes payable $2,900 Decrease in inventories 7,300 Depreciation 11,200 Gain on sale of investments 5,000 Increase in accounts payable 2,000 Increase in prepaid expenses 1,200 Increase in accounts receivable 5,500 a. Determine the net income reported by Curwen Inc., for the year ended December 31.
Vaughn Company completed its first year of operations on December 31, 2022. Its initial income statement showed that Vaughn had sales revenue of $196,100 and operating expenses of $89,100. Accounts receivable and accounts payable at year-end were $53,500 and $27,700, respectively. Assume that accounts payable related to operating expenses. Ignore income taxes.Compute net cash provided by operating activities using the direct method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)
Required: Using the direct method, compute the net cash flows from operations for Liu Company for 2018.
Sheridan Company completed its first year of operations on December 31. 2022. It initial income statement showed that Sheridan had sales revenue of $190,900 and operating expenses of $73,200. Accounts receivable and accounts payable at year-end were $63,900 and $31,600 respectively. Assume that accounts payable related to operating expenses. Inore income taxes. Compute net cash provided by operating activities using the direct method. (Show amo wnts that decrease cosh fow with either a sign eg 1s oog orinparenthesises (15,000) Net cash provided by operating activities
Net cash flow from operating activities for 2021 for Vaughn Manufacturing was $497000. The following items are reported on the financial statements for 2021: Depreciation and amortization $ 31000 Cash dividends paid on common stock 18400 Increase in accounts receivable 35500 Based only on the information above, Vaughn’s net income for 2021 was:
Simbop Company reported 2020 net income of $151,000. During 2020, accounts receivable increased by $15,010 and accounts payable increased by $9,966. Depreciation expense was $39,300.Prepare the cash flows from operating activities section of the statement of cash flows.
Macrosoft Company reports net income of $62,000. The accounting records reveal depreciation expense of $77,000 as well as increases in prepaid rent, accounts payable, and income tax payable of $57,000, $10,000, and $16,500, respectively. Prepare the operating activities section of Macrosoft's statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities MACROSOFT COMPANY Statement of Cash Flows (partial) Adjustments to reconcile net income to net cash flows from operating activities: Net cash flows from operating activities
Based on the following financial statements, convert the 2012 net income to the operating cash flow in that year. The operating cash flow in 2012 is Hint: Pay attention to the sign. Instruction: Type ONLY your numerical answer. No rounding is allowed. Income Statement Garcia Corporation Sales less: Operating Cost less: Depreciation Earnings Before Interest and Taxes less: Interest Earnings Before Taxes less: Taxes: Net Income Cash Receivable Inventory Total Current Assets Fixed Assets Total Assets 4,000 2,700 500 800 2011 200 400 600 1,200 1,500 2011 2,700 - 800 320 480 2012 230 450 700 1,380 Balance Sheet Garcia Corporation 1,500 2012 2,880 4,600 3,080 400 1,120 900 360 540 Accounts Payable. Notes payable Total Current Liabilities. Long-term Debt Common Stock Retained Earnings Total Liabilities and Stockholder's Equity 2011 100 400 500 200 1,600 400 2,700 2012 85 490 575 200 1,600 505 2,880
Cemptex Corporation prepares its statement of cash flows using the indirect method to report operating activities. Net income for the 2021 fiscal year was $654,000. Depreciation and amortization expense of $93,000 was included with operating expenses in the income statement. The following information describes the changes in current assets and liabilities other than cash: Decrease in accounts receivable $ 28,000 Increase in inventory 9,800 Increase in prepaid expenses 9,100 Increase in salaries payable 10,600 Decrease in income taxes payable 17,000 Required:Prepare the operating activities section of the 2021 statement of cash flows. (Amounts to be deducted should be indicated with a minus sign.)
Sheridan Company reported net income of $0.50 million in 2022. Depreciation for the year was $80,000, accounts receivable decreased $175,000, and accounts payable decreased $140,000. Compute net cash provided by operating activities using the indirect approach. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) Sheridan Company Statement of Cash Flows-Indirect Approach
Crane, Inc. reported net income of $2.65 million in 2022. Depreciation for the year was $169,600, accounts receivable decreased $371,000, and accounts payable decreased $296,800. Compute net cash provided by operating activities using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g.-15,000 or in parenthesis e.g. (15,000).)

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