(1) Introduction: Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities. To state: Company’s cash flow statement is prepared under direct method or indirect method.

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Answer 1

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Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 12, Problem 1AA

To determine

(1)

Introduction:

Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities.

To state:

Company’s cash flow statement is prepared under direct method or indirect method.

To determine

(2)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To identify:

The amount of cash provided by operating activities and cash paid for dividends for the fiscal year 2017, 2016 and 2015.

To determine

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

To determine

(4)

Introduction:

Cash flow from financing activities calculates the inflow and outflow of cash from issue of shares and debentures and long term-borrowings or repayment of loan and redemption of debentures

To state:

If the company spend more or less cash to repurchase common stock in 2017 versus 2016.

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Students have asked these similar questions

Refer to Apple’s statement of cash flows. (a) Which method is used to compute its net cash provided by operating activities? (b) Its balancesheet shows an increase in accounts receivable from September 24, 2016, to September 30, 2017; why is this increase in accounts receivable subtracted when computing net cash provided by operating activities for the fiscal yearended September 30, 2017?

What was the amount of net cash provided by operating activities for the year ended September 26, 2015? For the year ended September 27, 2014? What was the amount of increase or decrease in cash and cash equivalents for the year ended September 26, 2015? For the year ended September 27, 2014? Which method of computing net cash provided by operating activities does Apple use? From your analysis of the 2015 statement of cash flows, did the change in accounts receivable require or provide cash? Did the change in inventories require or provide cash? Did the change in accounts payable require or provide cash? What was the net outflow or inflow of cash from investing activities for the year ended September 26, 2015? What was the amount of income taxes paid in the year ended September 26, 2015?

How do Cramer’s accrued liabilities affect the company’s statement of cash flows for2018?a. They increase cash used by financing activities.b. They increase cash provided by operating activities.c. They increase cash used by investing activities.d. They don’t because the accrued liabilities are not yet paid

Answer 2

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 12, Problem 1AA

To determine

(1)

Introduction:

Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities.

To state:

Company’s cash flow statement is prepared under direct method or indirect method.

To determine

(2)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To identify:

The amount of cash provided by operating activities and cash paid for dividends for the fiscal year 2017, 2016 and 2015.

To determine

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

To determine

(4)

Introduction:

Cash flow from financing activities calculates the inflow and outflow of cash from issue of shares and debentures and long term-borrowings or repayment of loan and redemption of debentures

To state:

If the company spend more or less cash to repurchase common stock in 2017 versus 2016.

Expert Solution & Answer

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Answer 3

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 12, Problem 1AA

To determine

(1)

Introduction:

Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities.

To state:

Company’s cash flow statement is prepared under direct method or indirect method.

To determine

(2)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To identify:

The amount of cash provided by operating activities and cash paid for dividends for the fiscal year 2017, 2016 and 2015.

To determine

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

To determine

(4)

Introduction:

Cash flow from financing activities calculates the inflow and outflow of cash from issue of shares and debentures and long term-borrowings or repayment of loan and redemption of debentures

To state:

If the company spend more or less cash to repurchase common stock in 2017 versus 2016.

Expert Solution & Answer

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Answer 4

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 12, Problem 1AA

To determine

(1)

Introduction:

Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities.

To state:

Company’s cash flow statement is prepared under direct method or indirect method.

To determine

(2)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To identify:

The amount of cash provided by operating activities and cash paid for dividends for the fiscal year 2017, 2016 and 2015.

To determine

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

To determine

(4)

Introduction:

Cash flow from financing activities calculates the inflow and outflow of cash from issue of shares and debentures and long term-borrowings or repayment of loan and redemption of debentures

To state:

If the company spend more or less cash to repurchase common stock in 2017 versus 2016.

Expert Solution & Answer

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Answer 5

Chapter 12, Problem 1AA

To determine

(1)

Introduction:

Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities.

To state:

Company’s cash flow statement is prepared under direct method or indirect method.

To determine

(2)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To identify:

The amount of cash provided by operating activities and cash paid for dividends for the fiscal year 2017, 2016 and 2015.

To determine

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

To determine

(4)

Introduction:

Cash flow from financing activities calculates the inflow and outflow of cash from issue of shares and debentures and long term-borrowings or repayment of loan and redemption of debentures

To state:

If the company spend more or less cash to repurchase common stock in 2017 versus 2016.

Answer 6

Chapter 12, Problem 1AA

To determine

(1)

Introduction:

Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities.

To state:

Company’s cash flow statement is prepared under direct method or indirect method.

Answer 7

Chapter 12, Problem 1AA

To determine

(1)

Introduction:

Cash flow statements are the statements that determine the inflow and outflow of cash from three major activities that are carried out in a business, i.e., operating activities, investing activities and financing activities.

To state:

Company’s cash flow statement is prepared under direct method or indirect method.

Answer 8

To determine

(2)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To identify:

The amount of cash provided by operating activities and cash paid for dividends for the fiscal year 2017, 2016 and 2015.

Answer 9

To determine

(2)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To identify:

The amount of cash provided by operating activities and cash paid for dividends for the fiscal year 2017, 2016 and 2015.

Answer 10

To determine

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

Answer 11

To determine

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

Answer 12

To determine

(4)

Introduction:

Cash flow from financing activities calculates the inflow and outflow of cash from issue of shares and debentures and long term-borrowings or repayment of loan and redemption of debentures

To state:

If the company spend more or less cash to repurchase common stock in 2017 versus 2016.

Answer 13

To determine

(4)

Introduction:

Cash flow from financing activities calculates the inflow and outflow of cash from issue of shares and debentures and long term-borrowings or repayment of loan and redemption of debentures

To state:

If the company spend more or less cash to repurchase common stock in 2017 versus 2016.

Answer 14

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Answer 15

Expert Solution & Answer

Answer 16

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Answer 17

Ch. 12 - Prob. 1MCQ Ch. 12 - Prob. 2MCQ Ch. 12 - Prob. 3MCQ Ch. 12 - Prob. 4MCQ Ch. 12 - Prob. 5MCQ Ch. 12 - Prob. 1DQ Ch. 12 - Prob. 2DQ Ch. 12 - Prob. 3DQ Ch. 12 - Prob. 4DQ Ch. 12 - Prob. 5DQ

Solution Summary: The author explains that cash flow statements determine the inflow and outflow of cash from three major activities in a business, i.e., operating activities, investing activities and financing activities.

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.

Want to see the full answer?

Chapter 12 Solutions

Solution Summary: The author explains that cash flow statements determine the inflow and outflow of cash from three major activities in a business, i.e., operating activities, investing activities and financing activities.

(3) Introduction: Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year. To state: Whether the company had enough cash flows from operations to pay the dividends in 2017.

Want to see the full answer?

Chapter 12 Solutions

(3)

Introduction:

Cash flow from operating activities calculates the inflow and outflow of cash from day-to-day activities. It includes operating income and operating expenses for the year.

To state:

Whether the company had enough cash flows from operations to pay the dividends in 2017.