he chief accountant for Julius Company provides you with the company's most recent income statement and comparative balance sheets below. The accountant has asked for your help in preparing part of the company's 2024 statement of cash flows. 2024 Income Statement ($ in thousands) Sales revenue $ 5,000 Depreciation expense $ 280 Selling & administrative expense 3,720 4,000 Income before taxes 1,000 Income tax expense 300 Net income $ 700 Balance Sheet (all $ in thousands) 12/31/2024 12/31/2023 Cash $ 800 $ 750 Accounts receivable 450 365 Property, plant & equipment 1,900 1,450 Less: Accumulated depreciation (800) (520) $ 2,350 $ 2,045 Accrued liabilities for selling & administration expense $ 300 $ 325 Income taxes payable 180 130 Common stock 700 700 Retained earnings 1,170 890 $ 2,350 $ 2,045 Required: Determine the cash flow from operating activities for Julius Company, using the direct method. Note: Enter your answers in thousands of dollars.
he chief accountant for Julius Company provides you with the company's most recent income statement and comparative balance sheets below. The accountant has asked for your help in preparing part of the company's 2024 statement of cash flows. 2024 Income Statement ($ in thousands) Sales revenue $ 5,000 Depreciation expense $ 280 Selling & administrative expense 3,720 4,000 Income before taxes 1,000 Income tax expense 300 Net income $ 700 Balance Sheet (all $ in thousands) 12/31/2024 12/31/2023 Cash $ 800 $ 750 Accounts receivable 450 365 Property, plant & equipment 1,900 1,450 Less: Accumulated depreciation (800) (520) $ 2,350 $ 2,045 Accrued liabilities for selling & administration expense $ 300 $ 325 Income taxes payable 180 130 Common stock 700 700 Retained earnings 1,170 890 $ 2,350 $ 2,045 Required: Determine the cash flow from operating activities for Julius Company, using the direct method. Note: Enter your answers in thousands of dollars.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
he chief accountant for Julius Company provides you with the company's most recent income statement and comparative balance sheets below. The accountant has asked for your help in preparing part of the company's 2024 statement of
| 2024 Income Statement ($ in thousands) | ||
|---|---|---|
| Sales revenue | $ 5,000 | |
| $ 280 | ||
| Selling & administrative expense | 3,720 | 4,000 |
| Income before taxes | 1,000 | |
| Income tax expense | 300 | |
| Net income | $ 700 |
| 12/31/2024 | 12/31/2023 | |
|---|---|---|
| Cash | $ 800 | $ 750 |
| 450 | 365 | |
| Property, plant & equipment | 1,900 | 1,450 |
| Less: |
(800) | (520) |
| $ 2,350 | $ 2,045 | |
| Accrued liabilities for selling & administration expense | $ 300 | $ 325 |
| Income taxes payable | 180 | 130 |
| Common stock | 700 | 700 |
| 1,170 | 890 | |
| $ 2,350 | $ 2,045 |
Required:
Determine the cash flow from operating activities for Julius Company, using the direct method.
Note: Enter your answers in thousands of dollars.
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