Cash Debit Credit Balance, December 31, prior year Receipts from customers Receipts from equipment sale Receipts from issuing stock 11, 200 67, 200 Payments for inventory 29,000 Payments for salaries 44,800 Payments for land 34, 600 22, 400 56, 000 18, 800 3,600 Payments for a copyright Payments for dividends Balance, December 31, current year 16,800 Use the above Cash account to determine (a) cash flows used by investing activities and (b) cash flows provided by financing activities. a. Cash used by investing activities b. Cash provided by financing activities

Cash Debit Credit Balance, December 31, prior year Receipts from customers Receipts from equipment sale Receipts from issuing stock 11, 200 67, 200 Payments for inventory 29,000 Payments for salaries 44,800 Payments for land 34, 600 22, 400 56, 000 18, 800 3,600 Payments for a copyright Payments for dividends Balance, December 31, current year 16,800 Use the above Cash account to determine (a) cash flows used by investing activities and (b) cash flows provided by financing activities. a. Cash used by investing activities b. Cash provided by financing activities

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 27BE

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Spreadsheet and Statement The following 2019 information is available for Stewart Company: Partial additional information: The equipment that was sold for cash had cost 400 and had a book value of 300. Land that was sold brought a cash price of 530. Fifty shares of stock were issued at par. (Appendix 21.1) Operating Cash Flows Spreadsheet Method Refer to the information for Stewart Company in E21-11. Required: Raised only on the information presented and using the direct method, prepare the cash flows from operating activities section of the 2019 statement of cash flows for Stewart using the spreadsheet method.
Smoltz Company reported the following information for the current year: cost of goods sold, $252,500; increase in inventory, $21,700; and increase in accounts payable, $12,200. What is the amount of cash paid to suppliers that Smoltz would report on its statement of cash flows under the direct method? a. $218,600 c. $262,000 b. $243,000 d. $286,400
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.
EXPANDED STATE MENT OF CASH FLOWS Financial statements for McDowell Company as well as additional information relevant to cash flows during the period are given on pages 922923. Additional information: 1. Store equipment was sold in 20-2 for 25,000. Additional information on the store equipment sold is provided below. 2. Depreciation expense for the year was 112,000. 3. The following purchases were made for cash: 4. Declared and paid cash dividends of 60,000. 5. Issued 10,000 shares of 10 par common stock for 14 per share. 6. Acquired additional store equipment by issuing a note payable for 16,000. REQUIRED Prepare a statement of cash flows explaining the change in cash and cash equivalents for the year ended December 31, 20-2.
The following selected information pertains to Brock Company:Cash balance, January 1, 20x1 P130,000Accounts receivable, January 1, 20x1 190,000Collections from customers in 20x1 2,100,000Capital account balance, January 1, 20x1 380,000Total assets, January 1, 20x1 750,000Additional cash investment, July 1, 20x1 50,000Total assets, December 31, 20x1 1,010,000Cash balance, December 31, 20x1 200,000Accounts receivable, December 31, 20x1 360,000Withdrawals made during 20x1 110,000Total liabilities, December 31, 20x1 410,0007. Net income for the year ended December 31, 20x1
Income tac was $300,409 for the year. Income tac payable was $28,102 and $42,997 at the beginning and end of the year,reapectively. Cash payants for income tac reportés on the statement pc cash flots usine the direct method la a. $ 285,514 b. 315,304 c. 300,409 d. 371,508
Cash conversion cycle: Company X reported the following information for the last fiscalyear. COMPANY X Assets As of Liabilities and Equity 12/31/2021 Inventories USD 200 000 Accounts Receivable 180 000 Borrowings USD 190 000 Cash and financial assets 25 000 Accounts payable and 200 000 available for sale accruals Other current assets 18 000 Total current assets USD 423 000 Total current liabilities USD 390 000 Fixed Assets 500 000 Long-term debt 150 000 Equity 383 000 Total Assets USD 923 000 Total Liabilities & USD 923 000 Equities Net sales (credit) USD 800 000 Cost of goods sold 380 000 a. Calculate the firm’s cash conversion cycle and operating cycles b. What is the financing strategy of Company X? Aggressive or conservative? Is the strategyalready proper enough for the company? Please give your recommendation for them!
21. Riverbed Corp. uses the direct method to prepare its statement of cash flows. Riverbed trial balances at December 31, 2020 and 2019, are as follows. December 31 Debits 2020 2019 Cash $34,800 $32,300 Accounts receivable 32,800 29,800 Inventory 30,900 47,000 Property, plant, & equipment 100,800 95,900 Unamortized bond discount 4,600 5,100 Cost of goods sold 252,100 378,200 Selling expenses 142,700 172,900 General and administrative expenses 136,800 152,300 Interest expense 4,300 2,600 Income tax expense 20,400 60,600 $760,200 $976,700 Credits Allowance for doubtful accounts $1,300 $1,100 Accumulated depreciation—plant assets 16,600 15,100 Accounts payable 25,300 15,600 Income taxes payable 21,000 29,000 Deferred tax liability 5,200 4,500 8% callable bonds payable 44,500…
UTV Corp. have the following account balances for the year ended December 31, 2020:DEBIT BALANCESAmountCash and cash equivalents400,000Accounts receivable900,000Raw materials560,000Goods in process600,000Finished goods1,400,000Financial assets at FVOCI2,500,000Sinking fund200,000Land1,000,000Building6,000,000Plant and equipment2,400,000Patent800,000Goodwill1,400,000Unrealized loss – FVOCI100,000Prepaid benefit cost20,000Treasury shares at cost250,000TOTAL18,530,000 CREDIT BALANCESAmountBank overdraft100,000Due from an officer50,000Allowance for bad debts40,000Accumulated depreciation – building1,600,000Accumulated depreciation – plant and equipment400,000Notes payable, due June 30, 20211,300,000Notes payable, due June 30, 20222,100,000Accounts payable1,000,000Provision180,000Warranty liabilities80,000Income tax payable120,000Finance lease liability180,000Deferred tax liability280,000Actuarial gain300,000Revaluation surplus360,000Share capital6,000,000Share premium2,000,000Retained…
React Corporation Comparative Statements of Financial Position December 31, 2025 and 2024 2025 2024 Assets Current Assets Cash & Cash Equivalent 106,789 102,375 Trade & Other Receivables 327,611 277,467 Inventory 331,863 297,654 Prepaid Expenses 101,565 114,813 Total Current Assets 870,828 792,309 Noncurrent Assets Property, Plant & Equipment Intangibles 135,754 166,481 Total Noncurrent Assets 7,500 7,500 TOTAL ASSETS 143,254 173,981 1,014,082 966,290 Liabilities and Shareholders’ Equity Current Liabilities Trade & Other Payables Unearned Revenues 238,000 208,703 Notes Payables - current 107,508 82,456 Total Current Liabilities 45,000 45,000…
Required:Prepare Cashflow Statement for the year ended 31 December 2020 using the direct method. The following is an extract from the financial statements of Thandeka (Pty) Ltd for the year ended 31December 2021. Turnover (Sales) 702000 Cost of sales 390000 Gross profit 312000 Other income 2250 Operating expenses 164250 Operating profit 150000 Dividends received 18750 Profit before taxation 168750 Taxation 52500 Dividends 30000 Retained income for the year 86250 Retained income at the beginning of the year 48150 Retained income at the end of the year 134400 Thandeka (Pty) Ltd Statement of Financial Position as at 31 December 2021. ASSETS 2021 2020 Non-current assets 340 500 228 000 Land and buildings 178 500 127 500 Plant and equipment at carrying value 76 500 19 500 Listed investment 85 500 81 000 340 500 228 000 Current assets 181 650 129 750 Inventories 66 150 41 250 Trade debtors 110 250 78 750 Cash and…
E16-25 Identifying and reporting non-cash transactions Dirtbikes, Inc. identified the following selected transactions that occurred during the year ended December 31, 2018: a. Issued 750 shares of $3 par common stock for cash of $17,000. b. Issued 5,100 shares of $3 par common stock for a building with a fair market value of $96,000. c. Purchased new truck with a fair market value of $29,000. Financed it 100% with a long-term note. d. Retired short-term notes of $28,000 by issuing 1,900 shares of $3 par common stock. e. Paid long-term note of $10,500 to Bank of Tallahassee. Issued new long-term note of $23,000 to Bank of Trust. Identify any non-cash transactions that occurred during the year, and show how they would be reported in the non-cash investing and financing activities section of the statement of cash flows.