Homework Help is Here – Start Your Trial Now!
Business
Accounting
Taser Corporation's recent comparative balance sheet and income statement follow. Balance Sheets, December 31 2020 Assets Cash and cash equivalents Accounts receivable (net) Merchandise inventory Investments, long-term Plant assets Accumulated depreciation 2019 $23,400 $38,280 40,800 40,800 93,600 102,000 12,000 202,200 216,000 (52 900) (40 800)

Taser Corporation's recent comparative balance sheet and income statement follow. Balance Sheets, December 31 2020 Assets Cash and cash equivalents Accounts receivable (net) Merchandise inventory Investments, long-term Plant assets Accumulated depreciation 2019 $23,400 $38,280 40,800 40,800 93,600 102,000 12,000 202,200 216,000 (52 900) (40 800)

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 help me to solve this problem 

Determining Operating Cash Flows-Direct Method Taser Corporation's recent comparative balance sheet and income statement follow. Balance Sheets, December 31 2020 Assets Cash and cash equivalents Accounts receivable (net) Merchandise inventory Investments, long-term Plant assets Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Salaries payable Income taxes payable $25,200 $22,800 1,800 600 2,400 4,200 Bonds payable 120,000 120,000 Premium on bonds payable 4,800 4,440 Common stock, no-par 144,000 186,600 Retained earnings 9,000 30,240 Total liabilities and stockholders' equity $307,200 $368,880 Income Statement, For Year Ended December 31 2020 Sales revenue $144,000 Cost of goods sold Depreciation expense Salaries expense Income tax expense Interest expense Other expenses Gain on sale of plant assets Net income $23,400 $38,280 40,800 40,800 93,600 102,000 12,000 202,200 216,000 (52,800) (40,800) $307,200 $368,880 Additional information (57,600) (7,200) 2019 (26,400) (12,000) (8,400) (2,760) 3,600 $33,240
Transcribed Image Text:Determining Operating Cash Flows-Direct Method Taser Corporation's recent comparative balance sheet and income statement follow. Balance Sheets, December 31 2020 Assets Cash and cash equivalents Accounts receivable (net) Merchandise inventory Investments, long-term Plant assets Accumulated depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Salaries payable Income taxes payable $25,200 $22,800 1,800 600 2,400 4,200 Bonds payable 120,000 120,000 Premium on bonds payable 4,800 4,440 Common stock, no-par 144,000 186,600 Retained earnings 9,000 30,240 Total liabilities and stockholders' equity $307,200 $368,880 Income Statement, For Year Ended December 31 2020 Sales revenue $144,000 Cost of goods sold Depreciation expense Salaries expense Income tax expense Interest expense Other expenses Gain on sale of plant assets Net income $23,400 $38,280 40,800 40,800 93,600 102,000 12,000 202,200 216,000 (52,800) (40,800) $307,200 $368,880 Additional information (57,600) (7,200) 2019 (26,400) (12,000) (8,400) (2,760) 3,600 $33,240
Additional information 1. Purchased a plant asset, $36,000; issued capital stock in full payment. 2. Purchased a long-term investment in equity securities for cash, $12,000. 3. Declared and paid cash dividend, $12,000. 4. Sold a plant asset for $6,000 cash (cost, $21,600; accumulated depreciation, $19,200). 5. Sold capital stock, 600 shares at $11 per share cash. Prepare the operating activities section of the statement of cash flows, using the direct method. Note: Use negative signs with amounts for cash outflows. Cash Flows from Operating Activities Collections from customers Payments to suppliers Payments for salaries Payments for income taxes Payments for interest Other expenses Net cash provided (used) by operating activities $ $ 0 0 0 0 0 0 0
Transcribed Image Text:Additional information 1. Purchased a plant asset, $36,000; issued capital stock in full payment. 2. Purchased a long-term investment in equity securities for cash, $12,000. 3. Declared and paid cash dividend, $12,000. 4. Sold a plant asset for $6,000 cash (cost, $21,600; accumulated depreciation, $19,200). 5. Sold capital stock, 600 shares at $11 per share cash. Prepare the operating activities section of the statement of cash flows, using the direct method. Note: Use negative signs with amounts for cash outflows. Cash Flows from Operating Activities Collections from customers Payments to suppliers Payments for salaries Payments for income taxes Payments for interest Other expenses Net cash provided (used) by operating activities $ $ 0 0 0 0 0 0 0
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Value Chain Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
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