Homework Help is Here – Start Your Trial Now!
Business
Accounting
Revenues METAGROBOLIZE INDUSTRIES Incone Statenent Expenses For the Year Ended December 31, 2824 (s in thousands) Sales revenue Gain on sale of land Cost of goods sold Depreciation expense-building Depreciation expense-equipment Less on sale of equipment Amortization of patent Operating expenses Net income $ 3,061 70 $ 960 25 384 20 300 600 $ 3,131 2,209 $ 842 Additional information from the accounting records: a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2024. b. During 2024, equipment with a cost of $390,000 (90% depreciated) was sold. c. The statement of shareholders' equity reveals reductions of $190,000 and $405,000 for stock dividends and cash dividends, respectively. Required: Prepare the statement of cash flows of Metagrobolize for the year ended December 31, 2024. Present cash flows from operating activities by the direct method. Note: Enter your answers in thousands (.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign

Revenues METAGROBOLIZE INDUSTRIES Incone Statenent Expenses For the Year Ended December 31, 2824 (s in thousands) Sales revenue Gain on sale of land Cost of goods sold Depreciation expense-building Depreciation expense-equipment Less on sale of equipment Amortization of patent Operating expenses Net income $ 3,061 70 $ 960 25 384 20 300 600 $ 3,131 2,209 $ 842 Additional information from the accounting records: a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2024. b. During 2024, equipment with a cost of $390,000 (90% depreciated) was sold. c. The statement of shareholders' equity reveals reductions of $190,000 and $405,000 for stock dividends and cash dividends, respectively. Required: Prepare the statement of cash flows of Metagrobolize for the year ended December 31, 2024. Present cash flows from operating activities by the direct method. Note: Enter your answers in thousands (.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Please Do not Give image format
Revenues METAGROBOLIZE INDUSTRIES Income Statement For the Year Ended December 31, 2824 (s in thousands) Sales revenue Gain on sale of land Expenses Cost of goods sold Depreciation expense-building Depreciation expense-equipment Loss on sale of equipment Amortization of patent Operating expenses Net income $ 3,061 70 $960 25 From customers 384 Additional information from the accounting records a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2024. b. During 2024, equipment with a cost of $390,000 (90% depreciated) was so05.000 for stock dividends and cash dividends, c. The statement of shareholders' equity reveals reductions of $190,000 and respectively. Cash outflows: 20 300 600 Required: Prepare the statement of cash flows of Metagrobolize for the year ended December 31, 2024. Present cash flows from operating activities by the direct method. To suppliers of goods For operating expenses Note: Enter your answers in thousands (i.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign. Show Transcribed Text Cash flows from operating activities: Cash inflows: Sale of land Sale of equipment $3,131 2,289 $ 842 Net cash flows from operating activities Cash flows from investing activities: Purchase of equipment ($ in thousands) Net cash flows from investing activities Cash flows from financing activities: Payment on lease liability Payment of dividends Net cash flows from financing activities $ 0 0 0
Transcribed Image Text:Revenues METAGROBOLIZE INDUSTRIES Income Statement For the Year Ended December 31, 2824 (s in thousands) Sales revenue Gain on sale of land Expenses Cost of goods sold Depreciation expense-building Depreciation expense-equipment Loss on sale of equipment Amortization of patent Operating expenses Net income $ 3,061 70 $960 25 From customers 384 Additional information from the accounting records a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2024. b. During 2024, equipment with a cost of $390,000 (90% depreciated) was so05.000 for stock dividends and cash dividends, c. The statement of shareholders' equity reveals reductions of $190,000 and respectively. Cash outflows: 20 300 600 Required: Prepare the statement of cash flows of Metagrobolize for the year ended December 31, 2024. Present cash flows from operating activities by the direct method. To suppliers of goods For operating expenses Note: Enter your answers in thousands (i.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign. Show Transcribed Text Cash flows from operating activities: Cash inflows: Sale of land Sale of equipment $3,131 2,289 $ 842 Net cash flows from operating activities Cash flows from investing activities: Purchase of equipment ($ in thousands) Net cash flows from investing activities Cash flows from financing activities: Payment on lease liability Payment of dividends Net cash flows from financing activities $ 0 0 0
Comparative balance sheets for 2024 and 2023 and a statement of income for 2024 are given below for Metagrobolize Industries Additional information from the accounting records of Metagrobolize also is provided. Assets Cash METAGROBOLIZE INDUSTRIES Comparative Balance Sheets: December 31, 2024 and 2023. ($ in thousands) Accounts receivable Inventory. Land Building Less: Accumulated depreciation Equipment Less: Accumulated depreciation Patent Liabilities Accounts payable Accrued liabilities Lease liability-land Shareholders' Equity. Common stock Paid-in capital-excess of par Retained earnings 2024 $ 460 510 660 700 800 (300) 2,900 (493) 1,800 $ 7,037 $ 760 230 130 2,620 600 2,697 $ 7,037 2023 $ 190 270 390 605 800 (275) 2,630 (460) 2,100 $ 6,250 $ 560 210 0 2,500 530 2,450 $ 6,250
Transcribed Image Text:Comparative balance sheets for 2024 and 2023 and a statement of income for 2024 are given below for Metagrobolize Industries Additional information from the accounting records of Metagrobolize also is provided. Assets Cash METAGROBOLIZE INDUSTRIES Comparative Balance Sheets: December 31, 2024 and 2023. ($ in thousands) Accounts receivable Inventory. Land Building Less: Accumulated depreciation Equipment Less: Accumulated depreciation Patent Liabilities Accounts payable Accrued liabilities Lease liability-land Shareholders' Equity. Common stock Paid-in capital-excess of par Retained earnings 2024 $ 460 510 660 700 800 (300) 2,900 (493) 1,800 $ 7,037 $ 760 230 130 2,620 600 2,697 $ 7,037 2023 $ 190 270 390 605 800 (275) 2,630 (460) 2,100 $ 6,250 $ 560 210 0 2,500 530 2,450 $ 6,250
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 9 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS