Morey Company's net income last year was P27,000 and cash dividends declared and paid to the company's stockholders totaledP13,000. Changes in selected balance sheet accounts for the year appear below:Increases(Decreases)Debit balances:P 8,000Inventory .. (3,000)4,000Accounts receivablePrepaid expenses .Credit balances:Accumulated depreciation. 18,000Accounts payable . 6,000Taxes payable .Bonds payable(4,000)10,000Based solely on this information, the net cash provided by operations under the indirect method on the statement of cash flowswould be:

Net Cashflow from operation= Net Income -Increase in current assets- Decrease in current Liabilities…

Morey Company's net income last year was P27,000 and cash dividends declared and paid to the company's stockholders totaled P13,000. Changes in selected balance sheet accounts for the year appear below: Increases (Decreases) Debit balances: Accounts receivable . P 8,000 Inventory Prepaid expenses. (3,000) 4,000 Credit balances: Accumulated depreciation. 18,000 Accounts payable Taxes payable Bonds payable . 6,000 (4,000) 10,000 Based solely on this information, the net cash provided by operations under the indirect method on the statement of cash flows would be:

Morey Company's net income last year was P27,000 and cash dividends declared and paid to the company's stockholders totaled P13,000. Changes in selected balance sheet accounts for the year appear below: Increases (Decreases) Debit balances: Accounts receivable . P 8,000 Inventory Prepaid expenses. (3,000) 4,000 Credit balances: Accumulated depreciation. 18,000 Accounts payable Taxes payable Bonds payable . 6,000 (4,000) 10,000 Based solely on this information, the net cash provided by operations under the indirect method on the statement of cash flows would be:

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 50E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...

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Question

100%

Morey Company's net income last year was P27,000 and cash dividends declared and paid to the company's stockholders totaled
P13,000. Changes in selected balance sheet accounts for the year appear below:
Increases
(Decreases)
Debit balances:
P 8,000
Inventory .. (3,000)
4,000
Accounts receivable
Prepaid expenses .
Credit balances:
Accumulated depreciation. 18,000
Accounts payable . 6,000
Taxes payable .
Bonds payable
(4,000)
10,000
Based solely on this information, the net cash provided by operations under the indirect method on the statement of cash flows
would be:

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Juroe Company provided the following income statement for last year: Juroes balance sheet as of December 31 last year showed total liabilities of 10,250,000, total equity of 6,150,000, and total assets of 16,400,000. Refer to the information for Juroe Company on the previous page. Also, assume that Juroes total assets at the beginning of last year equaled 17,350,000 and that the tax rate applicable to Juroe is 40%. Required: Note: Round answers to two decimal places. 1. Calculate the average total assets. 2. Calculate the return on assets.
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