Jse the following information of VPI Co. to prepare a statement of cash flows for the year ended December 31 using the indirect method. (Amounts to be deducted should be indicated by a minus sign.) Cash balance at prior year-end Increase in inventory Depreciation expense Cash received from issuing stock Cash paid for dividends $40,400 5,400 4,400 8,400 1,400 Gain on sale of machinery Cash received from sale of machinery Increase in accounts payable Net income Decrease in accounts receivable $ 2,100 9,700 1,700 27,000 3,400 VPI CO. Statement of Cash Flows (Indirect Method) For Current Year Ended December 31 Cash flows from operating activities Net income 2$ 27,000 Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Depreciation expense 2$ 4,400 Gain on sale of machinery 2,100 Changes in current operating assets and liabilities Decrease in accounts receivable 3,400 3,400 Increase in inventory Oncrease in accounts pavable 1,700
Jse the following information of VPI Co. to prepare a statement of cash flows for the year ended December 31 using the indirect method. (Amounts to be deducted should be indicated by a minus sign.) Cash balance at prior year-end Increase in inventory Depreciation expense Cash received from issuing stock Cash paid for dividends $40,400 5,400 4,400 8,400 1,400 Gain on sale of machinery Cash received from sale of machinery Increase in accounts payable Net income Decrease in accounts receivable $ 2,100 9,700 1,700 27,000 3,400 VPI CO. Statement of Cash Flows (Indirect Method) For Current Year Ended December 31 Cash flows from operating activities Net income 2$ 27,000 Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Depreciation expense 2$ 4,400 Gain on sale of machinery 2,100 Changes in current operating assets and liabilities Decrease in accounts receivable 3,400 3,400 Increase in inventory Oncrease in accounts pavable 1,700
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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