Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below: Asset and Contra-Asset Accounts: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Long-term investments Property, plant, and equipment Accumulated depreciation Liability and Equity Accounts: Accounts payable Accrued liabilities Income taxes payable Bonds payable Common stock Retained earnings Increases (Decreases) $ (11,800) $ (25,000) $ 8,500 $ (14,700) $ 91,000 $ 77,000 $ 80,000 $ 0 $ 20,380 $ (13,080) $ (46,500) $ 31,000 $ 53,200 The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below: Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below: The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. Increases (Decreases) Asset and Contra-Asset Accounts: Cash and cash equivalents S (11.800) Accounts receivable S (25,000) Inventory $8.500 Prepaid expenses $ (14.700) Long-term investments $91.000 Property, plant, and equipment $77.000 Accumulated depreciation $ 80,000 Liability and Equity Accounts: Accounts payable $0 Accrued liabilities $ 20,380 Income taxes payable $ (13.080) Bonds payable $ (46,500) Common stock $31,000 Retained earnings $ 53.200 The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. The free cash flow for the year was: Multiple Choice $171,700 $94,700 $331,580 $150,500

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below:
Asset and Contra-Asset Accounts:
Cash and cash equivalents
Accounts receivable
Inventory
Prepaid expenses
Long-term investments
Property, plant, and equipment
Accumulated depreciation
Liability and Equity Accounts:
Accounts payable
Accrued liabilities
Income taxes payable
Bonds payable
Common stock
Retained earnings
Increases
(Decreases)
$ (11,800)
$ (25,000)
$ 8,500
$ (14,700)
$ 91,000
$ 77,000
$ 80,000
$ 0
$ 20,380
$ (13,080)
$ (46,500)
$ 31,000
$ 53,200
The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue
any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.
Transcribed Image Text:Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below: Asset and Contra-Asset Accounts: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Long-term investments Property, plant, and equipment Accumulated depreciation Liability and Equity Accounts: Accounts payable Accrued liabilities Income taxes payable Bonds payable Common stock Retained earnings Increases (Decreases) $ (11,800) $ (25,000) $ 8,500 $ (14,700) $ 91,000 $ 77,000 $ 80,000 $ 0 $ 20,380 $ (13,080) $ (46,500) $ 31,000 $ 53,200 The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.
Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below: Megan
Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below:
The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company
did not issue
any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.
Increases (Decreases)
Asset and Contra-Asset Accounts:
Cash and cash equivalents S (11.800)
Accounts receivable S (25,000)
Inventory $8.500
Prepaid expenses $ (14.700)
Long-term investments $91.000
Property, plant, and equipment $77.000
Accumulated depreciation $ 80,000
Liability and Equity Accounts:
Accounts payable $0
Accrued liabilities $ 20,380
Income taxes payable $ (13.080)
Bonds payable $ (46,500)
Common stock $31,000
Retained earnings $ 53.200
The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company
did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.
The free cash flow for the year was:
Multiple Choice
$171,700
$94,700
$331,580
$150,500
Transcribed Image Text:Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below: Megan Corporation's net income last year was $109,000. Changes in the company's balance sheet accounts for the year appear below: The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. Increases (Decreases) Asset and Contra-Asset Accounts: Cash and cash equivalents S (11.800) Accounts receivable S (25,000) Inventory $8.500 Prepaid expenses $ (14.700) Long-term investments $91.000 Property, plant, and equipment $77.000 Accumulated depreciation $ 80,000 Liability and Equity Accounts: Accounts payable $0 Accrued liabilities $ 20,380 Income taxes payable $ (13.080) Bonds payable $ (46,500) Common stock $31,000 Retained earnings $ 53.200 The company paid a cash dividend of $55,800 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. The free cash flow for the year was: Multiple Choice $171,700 $94,700 $331,580 $150,500
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