w the effects of borrowing the money and the December 31, Year 1 adjustment on the accounting t is the amount of interest expense for Year 1? pare a statement of cash flows for the Zirkle Company for Year 1. nplete this question by entering your answers in the tabs below. quired A Required B Required C are a statement of cash flows for the Zirkle Company for Year 1. e: Cash outflows should be indicated with a minus sign. ZIRKLE COMPANY

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Zirkle Company borrowed $129,000 from Plains Bank on July 31, Year 1. The note carried a 6% interest rate with a one-year term to
maturity.
Required:
a. Show the effects of borrowing the money and the December 31, Year 1 adjustment on the accounting equation.
b. What is the amount of interest expense for Year 1?
c. Prepare a statement of cash flows for the Zirkle Company for Year 1.
Complete this question by entering your answers in the tabs below.
Required A Required B
Required C
Prepare a statement of cash flows for the Zirkle Company for Year 1.
Note: Cash outflows should be indicated with a minus sign.
ZIRKLE COMPANY
Statement of Cash Flows
For the Year Ended December 31, Year 1
Cash flows from operating activities
Net cash flow from operating activities
Cash flows from investing activities
Net cash flow from investing activities
Cash flows from financing activities
Net cash flow from financing activities
< Required B
Required C
Transcribed Image Text:Zirkle Company borrowed $129,000 from Plains Bank on July 31, Year 1. The note carried a 6% interest rate with a one-year term to maturity. Required: a. Show the effects of borrowing the money and the December 31, Year 1 adjustment on the accounting equation. b. What is the amount of interest expense for Year 1? c. Prepare a statement of cash flows for the Zirkle Company for Year 1. Complete this question by entering your answers in the tabs below. Required A Required B Required C Prepare a statement of cash flows for the Zirkle Company for Year 1. Note: Cash outflows should be indicated with a minus sign. ZIRKLE COMPANY Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities Net cash flow from operating activities Cash flows from investing activities Net cash flow from investing activities Cash flows from financing activities Net cash flow from financing activities < Required B Required C
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