PREPARING A CASH FLOW STATEMTMET (INDIREECT METHOD) Use the following balance sheet to prepare a cash flow statement for the current year. Net Income for the year was $40,000. ASSETS Cash and Cash Equivalents Accounts Receivables, Net Inventories Prepaid Expenses Equipment Accumulated Depreciation Total Assets LIABILITIES AND STOCKHOLDERS' EQUITY Accounts Payable Accrued Liabilities Long-Term Debt Common Stock Retained Earnings Total Liabilities And Stockholders' Equity Current Year $92,000 57,000 51,000 12,000 145,000 ($51,000) $306,000 $35,000 31,000 80,000 2,000 158,000 $306,000 Prior Year $84,000 40,000 45,000 13,000 134,000 ($37,000) $279,000 $17,000 36,000 100,000 1,000 125,000 $279,000 Change $8,000 $17,000 $6,000 ($1,000) $11,000 ($14,000) $27,000 $18,000 ($5,000) ($20,000) $1,000 $33,000 $27,000

PREPARING A CASH FLOW STATEMTMET (INDIREECT METHOD) Use the following balance sheet to prepare a cash flow statement for the current year. Net Income for the year was $40,000. ASSETS Cash and Cash Equivalents Accounts Receivables, Net Inventories Prepaid Expenses Equipment Accumulated Depreciation Total Assets LIABILITIES AND STOCKHOLDERS' EQUITY Accounts Payable Accrued Liabilities Long-Term Debt Common Stock Retained Earnings Total Liabilities And Stockholders' Equity Current Year $92,000 57,000 51,000 12,000 145,000 ($51,000) $306,000 $35,000 31,000 80,000 2,000 158,000 $306,000 Prior Year $84,000 40,000 45,000 13,000 134,000 ($37,000) $279,000 $17,000 36,000 100,000 1,000 125,000 $279,000 Change $8,000 $17,000 $6,000 ($1,000) $11,000 ($14,000) $27,000 $18,000 ($5,000) ($20,000) $1,000 $33,000 $27,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Huluduey Corporation’s comparative balance sheet for current assets and liabilities was as follows: Dec. 31, Year 2 Dec. 31, Year 1 Accounts receivable $31,340 $27,670 Inventory 17,180 16,090 Accounts payable 16,510 14,340 Dividends payable 51,850 49,250 Adjust net income of $211,930 for changes in operating assets and liabilities to arrive at net cash flow from operating activities. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Use the minus sign to indicate cash outflows, cash payments, decreases in cash and for any adjustments, if required. Amount Descriptions Cash paid for dividends Decrease in accounts payable Decrease in accounts receivable Decrease in dividends payable Decrease in inventory Increase in accounts payable Increase in accounts receivable Increase in dividends payable Increase in inventory Net cash flow from operating…
Statement of financial position balances as at 31 December 20X8 and 20X9 are provided below for Laurel Inc. As at 31 December Assets Cash Short-term investments Accounts receivable Inventories Long-term investments Equipment Accumulated depreciation . Patent, net Total assets Liabilities and Shareholders' Equity Accounts payable Short-term bank debt Common shares Retained earnings Total liabilities and shareholders' equity $ Operating activities: 20X9 Laurel Inc. Statement of Cash Flows For the year ended 31 December 20X9 258,500 333,500 547,000 723,500 208,500 1,717,000 (467,000) 93,500 20X8 103,000 533,500 643,500 317,000 1,017,000 (458,500) 117,000 $ 3,414,500 $ 2,272,500 $ 823,500 $ 357,000 Laurel Inc. additional information: .Net earnings for 20x9 were $720,500. Equipment with an original cost of $417,000 and a NBV of $158,500 was sold for $158,500 during the year. Long-term investments were sold for $143,500 during the year. . • Short-term investments acquired are treasury bills…
Subject: acounting
Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 Assets Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Long-term investments Total assets Liabilities and Stockholders' Equity Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity Weaver Company Income Statement For This Year Ended December 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items: Gain on sale of investments Loss on sale of equipment Income before taxes Income taxes Net income Weaver Company Statement of Cash Flows-Indirect Method (partial) Net income Adjustments to convert net income to a cash…
In preparing a company's statement of cash flows for the most recent year using the indirect method, the following information is available: Net income for the year was Accounts payable decreased by Accounts receivable increased by Inventories increased by Cash dividends paid were Depreciation expense was Net cash provided by operating activities was: $150,000. $78,000. $54,000. $14,000. $40,000. $ 62,000 28,000 35,000 15,000 16,000 30,000
A company reports the amounts below in its financial statements. Net cash flow from operating activities $37,570 Total net cash flow 73,440 Current liabilities beginning of year 42,240 Current liabilities end of year 47,520 What is the company's operating cash flows to current liabilities ratio at the end of the year? Select one: a. 1.64 b. None of these are correct c. 0.79 d. 1.55 e. 0.84
Please fill in this chart
Consider the financial statements alongside the notes presented by Simple Things Industries and prepare the statement of cash flows for the year ended December 31, 2014. Assets Current: Cash Accounts Receivable Inventory Plant assets, net Total Assets Liabilities Current: Accounts payable Accrued liabilities Long-term notes payable Stockholders' Equity Common S tock Retained earnings Treasury stock Total liabilities and stockholders' equity Revenues and gains: Sales revenue Interest revenue Dividend revenue Gain on sale of plant assets Total revenues and gains Simple Things Industries Ltd. Comparative Balance Sheet December 31, 2014 and 2013 Expenses Cost of goods sold Salary and wages expense Depreciation expense Other operating expense Interest expense Income tax expense Total expenses Net Income/(Loss) Simple Things Industries Ltd Income Statement Year Ended December 31,2014 Notes Acquisition of plant asset during 2014 Sale proceeds from sale of plant asset Receipt for issuance of…
Statement of Cash Flows The following is a list of the items for Lombardo Company's 2019 statement of cash flows: a. depreciation expense, $4,300 b. proceeds from sale of land, $5,500 c. payment of dividends, $5,000 d. net income, $7,800 e. conversion of bonds to common stock, $7,000 k. ending cash balance, $13,800 f. increase in accounts payable, $3,000 Required: Prepare the statement of cash flows. Use a minus sign to indicate cash outflows, a decrease in cash or cash payments. LOMBARDO COMPANY Statement of Cash Flows For Year Ended December 31, 2019 Operating Activities: Adjustment for noncash income items: g. proceeds from issuance of note, $6,100 h. gain on sale of land, $1,900 1. payment for purchase of building, $13,000 j. increase in accounts receivable, $2,800 Adjustments for cash flow effects from working capital items: Investing Activities: Financing Activities: 00 00
W BGP Electrical Supply is developing its annual financial statements at December 31, current year. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized: Balance sheet at December 31 Cash Accounts receivable Merchandise inventory Property and equipment. Less: Accumulated depreciation Accounts payable Accrued wages expense Note payable, long-term Common stock and additional paid-in capital. Retained earnings Income statement for current year Sales Cost of goods sold Other expenses Net income Additional Data: Current Year Prior Year $ 29,400 $ 37,300 32,700 28,900 38,300 100,800 (25,300) 42,000 121,500 (30,700) $ 202,800 $36,700 1,400 44,500 89,600 30,600 $ 202,800 Cash flows from operating activities: $ 123,000 73,000 38,100 $ 11,900 BGP ELECTRICAL SUPPLY Statement of Cash Flows For the Year Ended December 31, Current Year $ 172,100 a. Bought equipment for cash, $20,700. b. Paid $6,300 on the…
Calculate the operating cash index for the below quarter.
Need help figuring out this equation