Homework Help is Here – Start Your Trial Now!
Business
Accounting
For the year just completed, Hanna Company had net income of $65,000. Balances in the company's current asset and current liability accounts at the beginning and end of the year were as follows: Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Current liabilities: Accounts payable Accrued liabilities Income taxes payable December 31 End of Year Net income Adjustments to convert sales to a cash basis: Decrease in accounts payable Decrease in accounts receivable Decrease in accrued liabilities Decrease in income taxes payable Increase in inventory Depreciation $ 63,000 $ 160,000 $ 448,000 $ 12,500 Net cash provided by operating activities $368,000 $ 9,000 $ 35,000 Beginning of Year The Accumulated Depreciation account had total credits of $54,000 during the year. Hanna Company did not record any gains or losses during the year. Hanna Company Statement of Cash Flows-Indirect Method (partial) $ 85,000 $ 184,000 $361,000 $ 13,000 Required: Using the indirect method, determine the net cash provided by operating activities for the year. (List any deduction in cash outflows as negative amounts.) $ 392,000 $ 12,500 $ 29,000 $ $ 65,000 0 65,000

For the year just completed, Hanna Company had net income of $65,000. Balances in the company's current asset and current liability accounts at the beginning and end of the year were as follows: Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Current liabilities: Accounts payable Accrued liabilities Income taxes payable December 31 End of Year Net income Adjustments to convert sales to a cash basis: Decrease in accounts payable Decrease in accounts receivable Decrease in accrued liabilities Decrease in income taxes payable Increase in inventory Depreciation $ 63,000 $ 160,000 $ 448,000 $ 12,500 Net cash provided by operating activities $368,000 $ 9,000 $ 35,000 Beginning of Year The Accumulated Depreciation account had total credits of $54,000 during the year. Hanna Company did not record any gains or losses during the year. Hanna Company Statement of Cash Flows-Indirect Method (partial) $ 85,000 $ 184,000 $361,000 $ 13,000 Required: Using the indirect method, determine the net cash provided by operating activities for the year. (List any deduction in cash outflows as negative amounts.) $ 392,000 $ 12,500 $ 29,000 $ $ 65,000 0 65,000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

Please do not give solution in image format thanku 

For the year just completed, Hanna Company had net income of $65,000. Balances in the company's current asset and current liability accounts at the beginning and end of the year were as follows: Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Current liabilities: Accounts payable Accrued liabilities Income taxes payable December 31 End of Year Net income Adjustments to convert sales to a cash basis: Decrease in accounts payable Decrease in accounts receivable Decrease in accrued liabilities Decrease in income taxes payable Increase in inventory Depreciation $ 63,000 $ 160,000 $ 448,000 $ 12,500 Net cash provided by operating activities $ 368,000 $ 9,000 $ 35,000 Beginning of Year The Accumulated Depreciation account had total credits of $54,000 during the year. Hanna Company did not record any gains or losses during the year. Hanna Company Statement of Cash Flows-Indirect Method (partial) $ 85,000 $ 184,000 $ 361,000 $ 13,000 Required: Using the indirect method, determine the net cash provided by operating activities for the year. (List any deduction in cash outflows as negative amounts.) $ 392,000 $ 12,500 $ 29,000 $ $ 65,000 0 65,000
Transcribed Image Text:For the year just completed, Hanna Company had net income of $65,000. Balances in the company's current asset and current liability accounts at the beginning and end of the year were as follows: Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Current liabilities: Accounts payable Accrued liabilities Income taxes payable December 31 End of Year Net income Adjustments to convert sales to a cash basis: Decrease in accounts payable Decrease in accounts receivable Decrease in accrued liabilities Decrease in income taxes payable Increase in inventory Depreciation $ 63,000 $ 160,000 $ 448,000 $ 12,500 Net cash provided by operating activities $ 368,000 $ 9,000 $ 35,000 Beginning of Year The Accumulated Depreciation account had total credits of $54,000 during the year. Hanna Company did not record any gains or losses during the year. Hanna Company Statement of Cash Flows-Indirect Method (partial) $ 85,000 $ 184,000 $ 361,000 $ 13,000 Required: Using the indirect method, determine the net cash provided by operating activities for the year. (List any deduction in cash outflows as negative amounts.) $ 392,000 $ 12,500 $ 29,000 $ $ 65,000 0 65,000
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Balance Sheet Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS