The following data has been taken from the Shine Machinery Inc., income statement and balance sheet: Dec. 31, Jan. Jan. 1,2013 “Income statement: Net Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... . .$375,000 Depreciation Expense. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 115,000 Amortization of Intangible Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41,000 Gain on Sale of Plant Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ….. 91,000 Loss on Sale of Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . …. . 34,000 Balance sheet: Accounts Receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...$345,000 $380,000 Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...513,000 575,000 Prepaid Expenses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . …...23,0 00 10,000 Accounts Payable (to merchandise suppliers) . . . . . . . . . . . . . . . . …. 389,000 410,000 Accrued Expenses Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . …. ..170,000 155,000” “Use the above information for the preparation of net cash flow from the operating activities through the indirect method for the following year ended 31, December, 2013.”
The following data has been taken from the Shine Machinery Inc., income statement and
Dec. 31, Jan. Jan. 1,2013
“Income statement:
Net Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... . .$375,000
Amortization of Intangible Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41,000
Gain on Sale of Plant Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ….. 91,000
Loss on Sale of Investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . …. . 34,000
Balance sheet:
Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...513,000 575,000
Prepaid Expenses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . …...23,0 00 10,000
Accounts Payable (to merchandise suppliers) . . . . . . . . . . . . . . . . …. 389,000 410,000
Accrued Expenses Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . …. ..170,000 155,000”
“Use the above information for the preparation of net
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
