The following information is available from the current period financial statements: Net income $122,517 Depreciation expense 24,625 Increase in accounts receivable 15,293 Decrease in accounts payable (24,295) The net cash flows from operating activities using the indirect method is a.$122,517 b.$58,304 c.$107,554 d.$186,730
Q: Kennedy, Inc. reported the following data: Net income $140,711 Depreciation expense 16,055 Loss on…
A: The cash flow statement helps to find net cash flow from various business activities like operating,…
Q: Cash Flows from Operating Activities—Indirect Method The net income reported on the income statement…
A: a. Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using…
Q: The following information pertains to Peak Heights Company: Income Statement for Current Year Sales…
A: Cash flows from operating activities is one of the important section of cash flow statement. It…
Q: Question Content Area Kennedy, Inc., reported the following data: Net income $170,619…
A: Statement of Cash Flow - Statement of cash flow is a financial statement that includes inflow and…
Q: The income statement disclosed the following items for the year: Depreciation expense $44,700 Gain…
A: Statement of cash flows: It is a financial statement that shows the increase or decrease in the cash…
Q: Cash Flows from Operating Activities-Indirect Method Staley Inc. reported the following data: Net…
A: Cash Flow Statement :— It is one of the financial statement that shows change in cash & cash…
Q: Reporting Net Cash Flow from Operating Activities The following information is available for…
A: Net Cash Flow from Operating Activities: When a company's cash flow statement is prepared, the part…
Q: Statement of Cash Flows—Indirect Method The comparative balance sheet of Merrick Equipment Co. for…
A: The statement of cash flows records all the sources and use of the cash in the business during a…
Q: Kennedy, Inc. reported the following data: Net income $190,614 Depreciation expense 12,841 Loss on…
A: Given that, Net income $190,614 Depreciation expense 12,841 Loss on disposal of equipment…
Q: Kennedy, Inc., reported the following data: Net income $125,981 Depreciation expense 16,232 Loss…
A: The cash flow statement is prepared to record the cash flow from various activities during the…
Q: Determining Cash Flows from (Used for) Operating Activities Yeoman Inc. reported the following…
A: Cash flow from operating activities indicates the cash inflow or outflow transactions related to the…
Q: Cash Flows from Operating Activities—Indirect Method Staley Inc. reported the following data: Net…
A: Cash is increased when the Current liability increase or the Current asset Decrease.Cash is…
Q: $75,010 $92,310 Acco
A: Cash Flow Statement: It is statement of inflows and outflows from three cash generated activities,…
Q: Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the…
A: Statement of cash flows: This statement reports all the cash transactions which are responsible for…
Q: 523.99 deprecitation 4580.77 accounts receivable -543.32 inventory 592.81
A: A company's primary business operations are directly linked to its cash inflows and outflows, which…
Q: Cash Flows from Operating Activities—Indirect Method Staley Inc. reported the following data: Net…
A: Cash flow statement provides information about the cash inflows and cash outflows of the company.…
Q: Cash Flows from Operating Activities—Indirect Method Staley Inc. reported the following data: Net…
A: Cash flow statement comprises of the following activities:-1. Operating;2. Investing and;3.…
Q: Accounts receivable from sales transactions were $45,634 at the beginning of the year and $60,027 at…
A: The objective of this question is to calculate the net cash flows from operating activities using…
Q: Yeoman Inc. reported the following data: Net income $373,300 Depreciation expense 74,600 Loss…
A: The question is based on the concept of Cash flow statement. Cash flow statement is the statement…
Q: Staley Inc. reported the following data: Net income $308,300 Depreciation expense 72,800 Loss on…
A: Cash Flow Statement is a statement that shows the analysis of cash inflows & outflows from…
Q: What adjustment(s) should be made to reconcile net income to net cash flows from operating…
A: Using the indirect method, the changes in net working capital accounts needs to be adjusted to net…
Q: Kennedy, Inc. reported the following data: Net income $125,121 Depreciation expense 14,053 Loss on…
A: By reconciling net income to cash flow, any activity that results in changing net income but doesn't…
Q: The net income reported on the income statement for the current year was $119,800. Depreciation…
A: Cash flow statements are the statements that decide the inflow and surge of money from three…
Q: The following are various cash flows and other information for Smyczek Company: a. Payments of…
A: Cash flows from operating activities: It is a section of Statement of cash flow that explains the…
Q: Kennedy, Inc. reported the following data: Net income $171,757 Depreciation expense 14,794 Loss on…
A: Cash flow statement provided information about the cash inflows and cash outflows of the company.…
Q: Accounts receivable from sales transactions were $45,582 at the beginning of the year and $68,677 at…
A: Increase or decrease=Accounts receivable in the beginning-Accounts receivable in the…
Q: Cash flows from (used for) operating activities-indirect method Staley Inc. reported the following…
A: The cash flow statement is prepared to record the cash flow from various activities during the…
Q: Staley Inc. reported the following data: Net income Depreciation expense Loss on disposal of…
A: Cash from operating activities refers to the cash received from regular business activities such as…
Q: Cash flows from (used for) operating activities-indirect method The income statement disclosed the…
A: Operating activities are day-to-day business activities, This term involved producing revenue and…
Q: Impact of Transactions Involving Receivables on Statement of Cash Flows From the following list,…
A: A cash flow statement is the statement prepared to understand the flow of cash in different…
Q: Cash Flows from Operating Activities-Indirect Method Staley Inc. reported the following data: Net…
A: Solution:- Calculation of cash flows from operating activities using indirect method as follows…
Q: Kennedy, Inc. reported the following data: Net income $149,333 Depreciation expense 16,206 Loss on…
A: Kennedy Inc. Cash Flow Statement (Indirect Method) Cash Flow from Operating Activities Amount…
Q: Cash Flows from Operating Activities—Indirect Method The income statement disclosed the following…
A: Cash flow statement provided information about the cash inflows and cash outflows of the company.…
Q: Statement of Cash Flows—Indirect Method The comparative balance sheet of Merrick Equipment Co. for…
A: Indirect method of cash flow statement involves a reconciliation from profit before tax, adjusting…
Q: Cash Flows from (Used for) Operating Activities The income statement disclosed the following items…
A: CASH FLOW STATEMENTCash flow statement provides additional information to user of financial…
Q: Cash Flows from (Used for) Operating Activities The income statement disclosed the following items…
A: A cash flow statement is a financial statement that provides all cash inflows from operating…
Q: Staley Inc. reported the following data: Net income $338,400 Depreciation expense 66,700 Loss on…
A: Cash flows from operating activities: It is a section of Statement of cash flow that explains the…
Q: Yeoman Inc. reported the following data: Net income $170,000 Depreciation expense 29,000 Loss on…
A: Cash flow from Operating activities section includes those items of Cash Inflows and Cash outflows…
Q: Using the Exhibit below, assume that the balance of Accounts Receivable was $61,000 at the beginning…
A: Statement of Cash Flow - Statement of Cash Flow from indirect method ways starts with net income…
Q: Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating…
A: Cash Flow Statement shows all the cash receipts and payments done in the relevant period. It has 3…
Q: Demers Inc. reported the following data: Net income $409,500 Depreciation expense 46,460 Gain on…
A: Cash flows from operating activities: It is a section of Statement of cash flow that explains the…
Q: Statement of Cash Flows The comparative balance sheet of Merrick Equipment Co. for December 31,…
A: Cash Flow Statement - It refers to the statement which shows inflow and outflow of cash and cash…
Q: Cash Flows from Operating Activities—Indirect Method Staley Inc. reported the following data:…
A:
The following information is available from the current period financial statements:
Net income | $122,517 |
24,625 | |
Increase in |
15,293 |
Decrease in accounts payable | (24,295) |
The net
![](/static/compass_v2/shared-icons/check-mark.png)
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
- On an indirect method statement of cash flows, an increase in accounts payable isa. deducted from net income in the operating activities section.b. reported in the financing activities section.c. added to net income in the operating activities section.d. reported in the investing activities section.Cash Flows from Operating Activities—Indirect Method Staley Inc. reported the following data: Net income $446,400 Depreciation expense 59,100 Loss on disposal of equipment 39,800 Increase in accounts receivable 27,200 Increase in accounts payable 10,700 Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Staley Inc. Statement of Cash Flows (partial) Cash flows from operating activities: $ Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activities $Cash Flows from Operating Activities-Indirect Method Staley Inc. reported the following data: Net income $232,800 Depreciation expense 65,900 Loss on disposal of equipment 27,700 Increase in accounts receivable 14,000 Increase in accounts payable 10,800 Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Staley Inc. Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activities 46
- Kennedy, Inc., reported the following data: Net income $122,135 Depreciation expense 12,690 Loss on disposal of equipment (8,856) Gain on sale of building 18,988 Increase in accounts receivable 8,409 Decrease in accounts payable (2,837) Prepare the operating activities section of the statement of cash flows using the indirect method. Use the minus sign to indicate cash outflows, a decrease in cash, cash payments, or any negative adjustments. Kennedy, Inc.Statement of Cash Flows Cash flows from (used for) operating activities: $- Select - Adjustments to reconcile net income to net cash flows from (used for) operating activities: - Select - - Select - - Select - Changes in current operating assets and liabilities: - Select - - Select -Cash Flows from Operating Activities—Indirect Method The net income reported on the income statement for the current year was $154,100. Depreciation recorded on store equipment for the year amounted to $25,400. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year Beginning of Year Cash $58,560 $53,290 Accounts receivable (net) 41,990 39,380 Inventories 57,330 59,950 Prepaid expenses 6,440 5,060 Accounts payable (merchandise creditors) 54,870 50,410 Wages payable 29,980 32,930 a. Prepare the “Cash flows from operating activities” section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Statement of Cash Flows (partial) Cash flows from operating activities: Net income Adjustments to reconcile net income to net cash flow…Cash Flows from Operating Activities—Indirect Method Staley Inc. reported the following data: Net income $298,400 Depreciation expense 59,600 Loss on disposal of equipment 24,800 Increase in accounts receivable 13,200 Increase in accounts payable 11,800 Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments.
- Prepare the operating activities section of the statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement For Year Ended December 31 Sales $ 2,189,000 Cost of goods sold 1,072,610 Gross profit 1,116,390 Operating expenses Salaries expense $ 299,893 Depreciation expense 52,536 Rent expense 59,103 Amortization expenses—Patents 6,567 Utilities expense 24,079 442,178 674,212 Gain on sale of equipment 8,756 Net income $ 682,968 Accounts receivable $ 46,450 increase Accounts payable $ 12,900 decrease Inventory 13,500 increase Salaries payable 5,150 decreaseStaley Inc. reported the following data: Net income Depreciation expense Loss on disposal of equipment Increase in accounts receivable Increase in accounts payable Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. $485,300 57,200 30,500 22,400 12,100 Staley Inc. Statement of Cash Flows (partial) Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activitiesThe item listed below belongs on the Statement of Cash Flows. Using formulas and cell links, complete the Statement of Cash Flows. Items for the Statement of Cash Flowws 01/01/21 12/31/21 Increase (Decrease) Davidson Company Statment of Cash Flow For the Year Ended Dec, 31,2021 Cash 42,000 60,000 Accounts Recevable 254,000 314,200 Cash Flows from operation activities Inventory 78,500 117,100 Accounts Payable 164,200 204,800 Net Cash Provided used by operating Activities Short-term notes Payable 65,000 27,200 Cash Flows from investing Activities Net income for 2021 230,200 Purchase of Equipment 84,000 Net Cash Provided used by investing Activities Depreciation Expense 26,600 Payments of Cash Dividends 91,600 Cash Flows from Financing…
- Statement of Cash Flows—Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 20Y9 and 20Y8, is as follows: Dec. 31, 20Y9 Dec. 31, 20Y8 Assets Cash $269,900 $249,630 Accounts receivable (net) 97,780 89,650 Inventories 276,020 265,460 Investments 0 102,840 Land 141,570 0 Equipment 304,530 234,680 Accumulated depreciation—equipment (71,300) (63,290) Total assets $1,018,500 $878,970 Liabilities and Stockholders' Equity Accounts payable $184,350 $173,160 Accrued expenses payable 18,330 22,850 Dividends payable 10,190 7,910 Common stock, $10 par 55,000 43,070 Paid-in capital: Excess of issue price over par-common stock 206,760 119,540 Retained earnings 543,870 512,440 Total liabilities and stockholders’ equity $1,018,500 $878,970 Additional data obtained from an examination of the accounts in the ledger for 20Y9 are as follows:…Staley Inc. reported the following data: Net income $226,300 Depreciation expense 72,400 Loss on disposal of equipment 36,700 Increase in accounts receivable 28,700 Increase in accounts payable 10,300 Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. blankStaley Inc.Statement of Cash Flows (partial) Cash flows from operating activities: $- Select - Adjustments to reconcile net income to net cash flow from operating activities: - Select - - Select - Changes in current operating assets and liabilities: - Select - - Select - Net cash flow from operating activities $fill in the blank 11Cash flows from operating activities-indirect methodThe net income reported on the income statement for the current yearwas $93,700. Depreciation recorded on store equipment for the yearamounted to $31,200. Balances of the current asset and current liabilityaccounts at the beginning and end of the year are as follows: End of Year Beginning of Year CashAccounts receivable (net)InventoriesPrepaid expensesAccounts payable (merchandise creditors)Wages payable $24,10065,00047,2003,25023,4005,300 $19,70056,00050,0008,00017,2006,400 a. Prepare the "Cash flows from operating activities" section of thestatement of cash flows, using the indirect methodb. Briefly explain why net cash flow from operating activities isdifferent than net income.
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)