Calculate the amount of cash flow from operating activities from the following information.Cash received from customers is $420,000, cash paid for wages and expenses is $230,000,depreciation of motor vehicles is $24,000, cash received from the sale of equipment is $25,000,and gain on the sale of the equipment is $23,000.a. $215,000b. $166,000c. $190,000d. $191,000The 2017 balance sheet of Kerber's Tennis Shop, Inc., showed $540,000 in the common stockaccount and $3.4 million in the additional paid-in surplus account. The 2018 balance sheetshowed $580,000 and $3.8 million in the same two accounts, respectively. If the company paidout $500,000 in cash dividends during 2018, what was the cash flow to stockholders for the year?Determine the Inventory turnover from the following information:Beginning Inventory (B.I) = $100,000Ending inventory (E.I) = $120,000Cost of goods sold (COGS) = $10,000,000If the industry average for inventory turnover is 40, compare your inventory turnover tothe industry average. Are you doing better than the industry average? Why or why not?

1)We should determine the cash flow from operating activitiesCash flow from operations is the…

Answered: Calculate the amount of cash flow from…

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter11: The Statement Of Cash Flows

Section: Chapter Questions

Problem 8MCQ: Which item is added to net income when computing cash flows from operating activities? a. Gain on...

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Which item is added to net income when computing cash flows from operating activities? a. Gain on the disposal of property, plant, and equipment b. Increase in wages payable c. Increase in inventory d. Increase in prepaid rent Use the following information for Multiple-Choice Questions 11-9 and 11-10: Cornett Company reported the following information: cash received from the issuance of common stock, $150,000; cash received from the sale of equipment, $14,800; cash paid to purchase an investment, $20,000; cash paid to retire a note payable, $50,000; and cash collected from sales to customers, $225,000.
Requirements Calculate the following items for the statement of cash flows: a. Beginning and ending Plant Assets, Net, were $106,000 and $101,000, respectively. Depreciation for the period was $18,000, and purchases of new plant assets were $26,000. Plant assets were sold at a gain of $5,000. What were the cash proceeds of the sale? b. Beginning and ending Retained Earnings were $44,000 and $70,000, respectively. Net income for the period was $46,000, and stock dividends were $6,000. How much were the cash dividends? Requirement a. Beginning and ending Plant Assets, Net, were $106,000 and $101,000, respectively. Depreciation for the period was $18,000, and purchases of new plant assets were $26,000. Plant assets were sold at a gain of $5,000. What were the cash proceeds of the sale? Cash proceeds from the sale were
A machine with a cost of $144,000, accumulated depreciation of $92,000, and current year depreciation expense of $20,500 is sold for $45,600 cash. The amount that should be reported as a source of cash under cash flows from investing activities is:
Calculate the total cash flow from the operating activity based on the following information. Sales $280.00 Cost of goods sold = $160.00 Depreciation = $35.00 Interest paid = $20.00 Tax rate = 35% =
8. State the effect (cash receipt or payment and amount) of each of the following transactions, considered individually, on cash flows:12. Sweeter Enterprises Inc. has cash flows from operating activities of $300,000. Cash flows used for investments in property, plant, and equipment totaled $63,000, of which 60% of this investment was used to replace existing capacity.
Dora Inc. reported the following on the company's statement of cash flows: Net cash flows from operating activities $380,000 Net cash flows used for investing activities (130,000) Net cash flows used for financing activities (230,000) 65% of the net cash flows used for investing activities was used to purchase property, plant, and equipment. What is the free cash flow? a.$250,000 b.$295,500 c.$464,500 d.$150,000
A machine with a cost of $175,000 and accumulated depreciation of $94,000 is sold for $87,000 cash. The amount reported as a source of cash under cash flows from investing activities is:
The financial statements showed the following: Operating income $2,750,000, Depreciation $1,350,000, Expenditures on fixed assets and net operating working capital $860,000. Tax rate is 35%. Compute for the free cash flow.
A machine with a cost of $146,000, accumulated depreciation of $93,000, and current year depreciation expense of $21,000 is sold for $46,400 cash. The amount that should be reported as a source of cash under cash flows from investing activities is: Multiple Choice $46,600. $6,600. $21,000.
Sales are 2,000,000. COGS are 1,000,000. Depreciation is 300,000. Taxes are 150,000. SG&A is 100,000. Interest Expense is 75,000. What is Operating Cash Flow? Please explain
Laser World's income statement reported total revenues of $920,000 and total expenses (including $44,500 depreciation) of $775,000. The balance sheet reported the following: Accounts Receivable-beginning balance, $57,000 and ending balance, $59,000; Accounts Payable-beginning balance, $23,000 and ending balance, $29,000. Therefore, based only on this information, the net cash flows from operating activities were: eBook Multiple Choice $96,800. $149,000. $185,650 O $193,500. Mc Graw Hill P Type here to search Ps Ps 98% A 4x A dx 6 *** Prtse Isert Delete F10 FII F1R & * 3 5 Num Lock 4 6 8. 9. Backspace T U G J K Enter V B > Shi Alt * Pgup Alt Ctrl Home PgDn : - O O O O
Staley Inc. reported the following data:Net income $280,000Depreciation expense 48,000Loss on disposal of equipment 19,520Increase in accounts receivable 17,280Increase in accounts payable 8,960Prepare the Cash flows from operating activities section of the statement of cash flows, using the indirect method.

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