Omega Company's accountants have just completed the income statement and balance sheet for the year and have provided the following information (dollars in thousands): Sales revenue Expenses Cost of goods sold Depreciation expense Salaries expense Rent expense Insurance expense Utilities expense Interest expense on bonds investments Loss on sale Net loss INCOME STATEMENT SELECTED BALANCE SHEET ACCOUNTS Merchandise inventory. Accounts receivable Accounts payable Salaries payable Rent payable Prepaid rent Prepaid insurance Current Year $90 456 264 35 13 12 27 Required 1 Required 2 $ 9,160 2,900 4,230 2,800 Prior Year $ 70 533 214 Cash flows from operating activities: 16 26 15 7 920 860 720 660 Other Data: The company issued $24,000, 6 percent bonds payable at par during the year. Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method. 2. Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method. Adjustments to reconcile net loss to net cash provided by operating activities: $ 20,670 Complete this question by entering your answers in the tabs below. 22,250 $ (1,580) OMEGA COMPANY Cash Flows from Operating Activities Indirect Method (in thousands) Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method. Note: List cash outflows and losses as negative amounts. Enter your answers in thousands.
Omega Company's accountants have just completed the income statement and balance sheet for the year and have provided the following information (dollars in thousands): Sales revenue Expenses Cost of goods sold Depreciation expense Salaries expense Rent expense Insurance expense Utilities expense Interest expense on bonds investments Loss on sale Net loss INCOME STATEMENT SELECTED BALANCE SHEET ACCOUNTS Merchandise inventory. Accounts receivable Accounts payable Salaries payable Rent payable Prepaid rent Prepaid insurance Current Year $90 456 264 35 13 12 27 Required 1 Required 2 $ 9,160 2,900 4,230 2,800 Prior Year $ 70 533 214 Cash flows from operating activities: 16 26 15 7 920 860 720 660 Other Data: The company issued $24,000, 6 percent bonds payable at par during the year. Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method. 2. Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method. Adjustments to reconcile net loss to net cash provided by operating activities: $ 20,670 Complete this question by entering your answers in the tabs below. 22,250 $ (1,580) OMEGA COMPANY Cash Flows from Operating Activities Indirect Method (in thousands) Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method. Note: List cash outflows and losses as negative amounts. Enter your answers in thousands.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter5: The Income Statement And The Statement Of Cash Flows
Section: Chapter Questions
Problem 2E: Cost of Goods Sold and Income Statement Schuch Company presents you with the following account...
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Transcribed Image Text:1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method.
2. Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Prepare the cash flows from operating activities section of the statement of cash flows using the direct method.
Note: List cash outflows as negative amounts. Enter your answers in thousands.
OMEGA COMPANY
Cash Flows from Operating Activities
Direct Method (in thousands)
Cash flows from operating activities:
< Required 1
Required 2 >
Transcribed Image Text:mework i
Omega Company's accountants have just completed the income statement and balance sheet for the year and have provided the
following information (dollars in thousands):
Sales revenue
Expenses
Cost of goods sold
Depreciation expense
Salaries expense
Rent expense
Insurance expense
Utilities expense
Interest experise on bonds
Loss on sale
investments.
Net loss.
SELECTED BALANCE SHEET ACCOUNTS
Merchandise inventory
Accounts receivable
Accounts payable
Salaries payable
Rent payable
Prepaid rent
Prepaid insurance
INCOME STATEMENT
Current
Year
Required 1 Required 2
$90
456
264
35
13
instructio....pdf
12
27
Cash flows from operating activities:
A
$9,160
2,900
Prior
Year
$ 70
533
214
16
26
15
7
Other Data:
The company issued $24,000, 6 percent bonds payable at par during the year.
Required:
Adjustments to reconcile net loss to net cash provided
by operating activities:
4,230
2,800
1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method.
2. Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method.
920
860
720
660
Complete this question by entering your answers in the tabs below.
$ 20,670
Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method.
Note: List cash outflows and losses as negative amounts. Enter your answers in thousands.
22,250
$ (1,580)
OMEGA COMPANY
Cash Flows from Operating Activities
Indirect Method (in thousands)
MEANS
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