Student Painters had revenues of $17,700 and expenses of $10,700 last summer. There were no depreciation expenses. However, thebusiness reported the following changes in working capital:Accounts receivableAccounts payableBeginning ofYear$ 2,9001,040End of Year$ 6,200470Calculate net cash flow for the business for this period.Net cash flow

Step 1:Computation of the net income for the period:Net income = Revenues-Expenses-Depreciation=…

Answered: Student Painters had revenues of…

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

ChapterMB: Model-building Problems

Section: Chapter Questions

Problem 14M

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Student Painters had revenues of $17,400 and expenses of $10,400 last summer. There were no depreciation expenses. However, the business reported the following changes in working capital: Beginning of Year End of Year Accounts receivable $ 2,600 $ 5,900 Accounts payable 980 440 Calculate net cash flow for the business for this period.
A house painting business had revenues of $16,600 and expenses of $9,600 last summer. There were no depreciation expenses. However, the business reported the following changes in working capital:Accounts receivable $ 1,800 $ 5,100Accounts payable 820 360Calculate net cash flow for the business for this period.
Micro, Inc., started the year with net fixed assets of $76,175. At the end of the year, there was $97,925 in the same account, and the company's income statement showed depreciation expense of $13,935 for the year. What was the company's net capital spending for the year? Multiple Choice O $35,685 $43,580 $21,750 $41,170 $83,990
Micro, Inc., started the year with net fixed assets of $76,175. At the end of the year, there was $97,925 in the same account, and the company's income statement showed depreciation expense of $13,395 for the year. What was the company's net capital spending for the year? a. $83,990 b. $35,685 c. $21,750 d. $43,580 e. $41,170
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I need help on this problem. Pearce Enterprises reported the following information for the past year of operation: Transaction Free Cash Flow $250,000 Operating-cash-flow-to-current-liabilities raition 1.0 times Operating-cash-flow-to-capital-expenditures ratio 3.0 times a) Recorded credit sales of $9,000 b) Collected $4,000owed from customers c) Purchased $28,000 of equipment on long-term credit d) Purchased $16,000 of equipment for cash e) Paid $10,000 of wages with cash f) Recorded utility bill of $1,750 that has not been paid For each transaction, indicate whether the ratio will (I) Increase, (D) decrease, or (N) have no effect.
Need help calculating: A. Economic value added and B. Return on Capital
Gamma Corporation reported Net Income of $85,000 for FY2021. In addition, selected accounts showed the following information: Accounts Receivable Accounts Payable Buildings Depreciation Wages Payable $2,000 increase $1,200 decrease $3,000 decrease $3,000 increase $6,000 increase What was the amount of cash provided by operating activities?
A medium entity provided the following data at year-end: Cash 25,000 Accounts receivable 530,000 60,000 Prepayments Inventories 60,000 Investment in associate 110,000 Property, plant and equipment Accumulated depreciation Software - net of amortization and impairment Deferred tax asset 3,250,000 700,000 10,000 5,000 Bank overdraft 80,000 Bank loan, payable in two years and prepayable without penalty Trade accounts payable Interest payable Current tax liability Warranty liability Employee benefit obligation, current portion P4,000 Finance lease liability, current portion P20,000 Share capital Retained earnings 50,000 430,000 2,000 270,000 14,000 10,000 44,000 2,000,000 450,000 1. What amount should be reported as total current assets? 2. What amount should be reported as total noncurrent liabilities? 3. What amount should be reported as total shareholders' equity?
Last year, IC Inc. had operating income of $500,000 after charging $200,000 of depreciation expense. During the year, trade accounts receiv- able increased by $50,000, and inventory increased by $25,000. Trade accounts payable increased by $10,000. Interest expense was $5,000, and income taxes totalled $200,000. Required Calculate the cash from operations for the year. During
The income statement disclosed the following items for the year: Depreciation expense $ 65,000Gain on disposal of equipment 27,500Net income 620,000 The changes in the current asset and liability accounts for the year are as follows: Increase(Decrease)Accounts receivable $11,200Inventory (6,350)Prepaid insurance (1,200)Accounts payable (4,200)Income taxes payable 1,650Dividends payable 2,500a. Prepare the Cash flows from operating activities section of the statement of cash flows, using the indirect method.b. Briefly explain why net cash flows from operating activities is different from net income.
Fallway, Inc. had current assets of $121,800 and current liabilities of $114,300 last year. This year, the current assets are $118,600 and the current liabilities are $100,400. The depreciation expense for the past year is $13,500 and the interest paid is $3,000. What is the amount of the change in net working capital?

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