To determine Prepare the statement of cash flows for the year ended December 31 of Corporation P. Explanation Statement of cash flows: It is one of the financial statement that shows the cash and cash equivalents of a company for a particular period. It determines the net changes in cash through reporting the sources and uses of cash due to the operating, investing, and financing activities of a company. Operating activities: Operating activities refer to the normal activities of a company to carry out the business. The examples for operating activities are purchase of inventory, payment of salary, sales, and others. Investing activities: Investing activities refer to the activities carried out by a company for acquisition of long term assets. The examples for investing activities are purchase of equipment, long term investment, sale of land, and others. Financing activities: Financing activities refer to the activities carried out by a company to mobilize funds to carry out the business activities. The examples for financing activities are purchase of bonds, issuance of common shares, and others. Prepare the statement of cash flows for the year ended December 31 of Corporation P. Corporation P Consolidated Statements of Cash Flows For the year ended December 31 Particulars Amount ($) Amount ($) Cash flows from operating activities: Net income 71,993 Adjustments to reconcile net cash provided by operating activities: Depreciation 9,746 Amortization 1,556 Loss on sale of property and equipment 263 Changes in operating assets and liabilities ...

10th Edition

ISBN: 9781260481563

Author: Libby, Robert

Publisher: MCGRAW-HILL HIGHER EDUCATION

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Chapter 12, Problem 1CON

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Prepare the statement of cash flows for the year ended December 31 of Corporation P.

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Chapter 12, Problem 3AP

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Chapter 12 Solutions

Financial Accounting

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