FINANCIAL ACCOUNTING W/WILEY+ >IP<
9th Edition
ISBN: 9781118948828
Author: Weygandt
Publisher: JOHN WILEY+SONS INC.CUSTOM
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Chapter 13, Problem 13.6BYP
(a)
To determine
Statement of
Statement of cash flow is a financial statement that shows the cash and cash equivalents of a company for a particular period of time. It shows the net changes in cash, by reporting the sources and uses of cash as a result of operating, investing, and financing activities of a company.
Cash flows from operating activities: These refer to the cash received or cash paid in day-to-day operating activities of a company.
Indirect method: Under this method, the following amounts are to be adjusted from the Net Income to calculate the net cash provided from operating activities.
- Deduct increase in current assets.
- Deduct decrease in current liabilities.
- Add decrease in current assets.
- Add the increase in current liability.
- Add
depreciation expense and amortization expense.
- Add loss on sale of plant assets.
- Less gain on sale of plant assets.
Cash flow from investing activities: This section of cash flows statement provides information concerning about the purchase and sale of capital assets by the company.
- Deduct the amount of cash used to purchase any fixed assets.
- Add the amount of cash received from sale of any fixed asset.
Cash flow from financing activities: This section of cash flows statement provides information about the
- Add the amount of cash received from any sources of finance.
- Deduct the amount of cash used for payment for dividend and interest from financing activities.
- Deduct the amount of cash used for payment of
treasury stock from financing activities.
Non- cash transactions
The transaction which does not involve any cash dealings is known as non-cash transactions. In these type transactions there will not be any inflow or outflow of cash. Simply put, the transaction which does not have an impact on the inflow or outflow of cash is called as non-cash transactions.
To Prepare: Statement of cash flows of Company G using indirect method.
(b)
To determine
To analyze: the statement made by M and P with reference to the statement of cash flow.
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Chapter 13 Solutions
FINANCIAL ACCOUNTING W/WILEY+ >IP<
Ch. 13 - Prob. 1QCh. 13 - Prob. 2QCh. 13 - Prob. 3QCh. 13 - Prob. 4QCh. 13 - Prob. 5QCh. 13 - Prob. 6QCh. 13 - Prob. 7QCh. 13 - Prob. 8QCh. 13 - Prob. 9QCh. 13 - Prob. 10Q
Ch. 13 - Prob. 11QCh. 13 - Prob. 12QCh. 13 - Prob. 13QCh. 13 - Prob. 14QCh. 13 - Prob. 15QCh. 13 - Prob. 16QCh. 13 - Prob. 17QCh. 13 - Prob. 18QCh. 13 - Prob. 19QCh. 13 - Prob. 20QCh. 13 - Prob. 21QCh. 13 - Prob. 22QCh. 13 - Prob. 13.1BECh. 13 - Prob. 13.2BECh. 13 - Prob. 13.3BECh. 13 - Prob. 13.4BECh. 13 - Prob. 13.5BECh. 13 - Prob. 13.6BECh. 13 - Prob. 13.7BECh. 13 - Prob. 13.8BECh. 13 - Prob. 13.9BECh. 13 - Prob. 13.10BECh. 13 - Prob. 13.11BECh. 13 - Prob. 13.12BECh. 13 - Prob. 13.13BECh. 13 - Prob. 13.14BECh. 13 - Prob. 13.15BECh. 13 - Prob. 13.1DIRCh. 13 - Prob. 13.2DIRCh. 13 - Prob. 13.3DIRCh. 13 - Prob. 13.1ECh. 13 - Prob. 13.2ECh. 13 - E12-3 Cushenberry Corporation had the following...Ch. 13 - Prob. 13.4ECh. 13 - Prob. 13.5ECh. 13 - Prob. 13.6ECh. 13 - Prob. 13.7ECh. 13 - Prob. 13.8ECh. 13 - E13-9 Rodriquez Corporation’s comparative balance...Ch. 13 - Prob. 13.10ECh. 13 - Prob. 13.11ECh. 13 - Prob. 13.12ECh. 13 - Prob. 13.13ECh. 13 - Prob. 13.14ECh. 13 - Prob. 13.1APCh. 13 - Prob. 13.2APCh. 13 - Prob. 13.3APCh. 13 - Prob. 13.4APCh. 13 - Prob. 13.5APCh. 13 - Prob. 13.6APCh. 13 - Prob. 13.7APCh. 13 - Prob. 13.8APCh. 13 - Prob. 13.9APCh. 13 - Prob. 13.10APCh. 13 - Prob. 13.11APCh. 13 - Prob. 13.12APCh. 13 - Prob. 13.1BPCh. 13 - Prob. 13.2BPCh. 13 - Prob. 13.3BPCh. 13 - Prob. 13.4BPCh. 13 - Prob. 13.5BPCh. 13 - Prob. 13.6BPCh. 13 - Prob. 13.7BPCh. 13 - Prob. 13.8BPCh. 13 - Prob. 13.9BPCh. 13 - Prob. 13.10BPCh. 13 - Prob. 13.11BPCh. 13 - Prob. 13.1BYPCh. 13 - Prob. 13.2BYPCh. 13 - Prob. 13.3BYPCh. 13 - Prob. 13.6BYPCh. 13 - Prob. 13.7BYPCh. 13 - Prob. 13.8BYPCh. 13 - Prob. 13.1IFRSCh. 13 - Prob. 13.2IFRSCh. 13 - Prob. 13.3IFRSCh. 13 - Prob. 13.4IFRS
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The KEY to Understanding Financial Statements; Author: Accounting Stuff;https://www.youtube.com/watch?v=_F6a0ddbjtI;License: Standard Youtube License