The following information is taken from Rick Corporation's financial statements:tion 7. (15 Marks)CashAccounts receivableInventoryPrepaid expensesDecember 312015S 82,00090,500145,0007,50093,000287,000(35,000)100,00020.000$790,0002014$ 27,00076,900175,000LandBuildingsAccumulated depreciation - buildingEquipment under finance leasePatents, net of accumulated amortization6,80060,000244,000(13,000)35,000$611,700Accounts payableAccrued pension liabilityFinance lease obligationBonds payableCommon sharesRetained earningsTreasury shares, at cost$ 84,00063,000$ 90,00054,00090,000125,00060,000100,000100,000346,000(15,000)$790,000312,700(8,000)$611,700Additional Information For 2015 Year$53,300$22,000$15,000$7,000$20,000$8,000$10,000Net incomeDepreciation expensePension expenseAmortization of patentsCash dividends declared and paidProceeds from sale of patentsEquipment finance lease paymentRequired:year 2015.Prepare a statement of cash flows (indirect method) for Rick Corporation for the

Statement of Cash Flow - Statement of Cash Flow includes movement of cash in the financial year. It…

from Rick Corporation's financial statements: Land Buildings Accumulated depreciation - building Equipment under finance lease Patents, net of accumulated amortization Cash Accounts receivable Inventory Prepaid expenses December 31 2015 S 82,000 90,500 145,000 7,500 93,000 287,000 2014 $ 27,000 76,900 175,000 6,800 60,000 244,000 (13,000) (35,000) 100,000 20,000 $790,000 35,000 $611,700 Accounts payable Accrued pension liability Finance lease obligation Bonds payable $ 90,000 54,000 90,000 125,000 100,000 346,000 (15,000) $790,000 $ 84,000 63,000 60,000 Common shares Retained earnings 100,000 312,700 Treasury shares, at cost (8,000) $611,700 Additional Information For 2015 Year $53,300 $22,000 $15,000 $7,000 $20,000 Net income Depreciation expense Pension expense Amortization of patents Cash dividends declared and paid Proceeds from sale of patents Equipment finance lease payment $8,000 $10,000 Required: Prepare a statement of cash flows (indirect method) for Rick Corporation for the year 2015.

from Rick Corporation's financial statements: Land Buildings Accumulated depreciation - building Equipment under finance lease Patents, net of accumulated amortization Cash Accounts receivable Inventory Prepaid expenses December 31 2015 S 82,000 90,500 145,000 7,500 93,000 287,000 2014 $ 27,000 76,900 175,000 6,800 60,000 244,000 (13,000) (35,000) 100,000 20,000 $790,000 35,000 $611,700 Accounts payable Accrued pension liability Finance lease obligation Bonds payable $ 90,000 54,000 90,000 125,000 100,000 346,000 (15,000) $790,000 $ 84,000 63,000 60,000 Common shares Retained earnings 100,000 312,700 Treasury shares, at cost (8,000) $611,700 Additional Information For 2015 Year $53,300 $22,000 $15,000 $7,000 $20,000 Net income Depreciation expense Pension expense Amortization of patents Cash dividends declared and paid Proceeds from sale of patents Equipment finance lease payment $8,000 $10,000 Required: Prepare a statement of cash flows (indirect method) for Rick Corporation for the year 2015.

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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