How do I prepare a statement of cash flow for the operating activities only with indirect method? 787locale-&platformld-1030&iesCode=VLLIPEZ745648P11-61A. (Learning Objectives 2, 3: Prepare the statement of cash flows-indirect method)The 2018 and 2017 comparative balance sheets and 2018 income statement of Queen SupplyСогр. follow:A1Queen Supply Corp.Comparative Balance Sheets1December 31,2017Increase22018(Decrease)34 Current assets:17,80050,20056,7002,3009,000 $42,00043,3005,0008,8008,20013,400(2,700)5.Cash and cash equivalentsAccounts receivable6.7Inventories8Prepaid expenses9 Plant assets:37,70068,50053,700$ 249,20030,80049,000$ 179,100 $ 70,100Land10114,700Equipment, net12 Total assets13 Current liabilities:Accounts payable151617 Long-term liabilities:1819 Stockholders' equity:20$ 35,70027,00021,200$ 26,500 $18,10023,9009,2008,900(2,700)14Salary payableOther accrued liabilitiesNotes payable65,00027,00038,00023,60088,00012,300$ 249,20064,40019,200$ 179,100 S 70,100Common stock, no-par(6,900)Retained earnings22 Total liabilities and stockholders' equity2321

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How do I prepare a statement of cash flow for the operating activities only with indirect method?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Question

How do I prepare a statement of cash flow for the operating activities only with indirect method?

787locale-&platformld-1030&iesCode=VLLIPEZ745
648
P11-61A. (Learning Objectives 2, 3: Prepare the statement of cash flows-indirect method)
The 2018 and 2017 comparative balance sheets and 2018 income statement of Queen Supply
Согр. follow:
A1
Queen Supply Corp.
Comparative Balance Sheets
1
December 31,
2017
Increase
2
2018
(Decrease)
3
4 Current assets:
17,800
50,200
56,700
2,300
9,000 $
42,000
43,300
5,000
8,800
8,200
13,400
(2,700)
5.
Cash and cash equivalents
Accounts receivable
6.
7
Inventories
8
Prepaid expenses
9 Plant assets:
37,700
68,500
53,700
$ 249,200
30,800
49,000
$ 179,100 $ 70,100
Land
10
11
4,700
Equipment, net
12 Total assets
13 Current liabilities:
Accounts payable
15
16
17 Long-term liabilities:
18
19 Stockholders' equity:
20
$ 35,700
27,000
21,200
$ 26,500 $
18,100
23,900
9,200
8,900
(2,700)
14
Salary payable
Other accrued liabilities
Notes payable
65,000
27,000
38,000
23,600
88,000
12,300
$ 249,200
64,400
19,200
$ 179,100 S 70,100
Common stock, no-par
(6,900)
Retained earnings
22 Total liabilities and stockholders' equity
23
21

Definition Definition Net amount of cash that an entity receives and expends over the course of a given period. For a business to continue operating, positive cash flows are required, and they are also necessary to produce value for investors. Investors in particular prefer to see growing cash flows even after capital expenditures have been paid for (which is known as free cash flow).

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