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Required: Determine the following: Total net cash flow Net cash flow from operating Net cash flow from investing Net cash flow from financing

Required: Determine the following: Total net cash flow Net cash flow from operating Net cash flow from investing Net cash flow from financing

Cornerstones of Financial Accounting
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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Required: Determine the following:

  1. Total net cash flow
  2. Net cash flow from operating
  3. Net cash flow from investing
  4. Net cash flow from financing
II. The following changes in the statement of financial position accounts of BC were gathered for preparation of Statement on Cash Flow: Increase (Decrease) Cash 270,000 Short-term investment 200,000 Accounts receivable (20,000) Inventory 100,000 Noncurrent investment (100,000) Equipment 700,000 Accumulated depreciation - increase 50,000 Accounts payable (5,000) Dividends payable 160,000 Short-term notes, non-trade 300,000 Long-term debts 130,000 Ordinary share, P10 par 150,000 Share premium (APIC) 75,000 Accumulated profits 290,000 The following additional information relates to the same year: a. Net income was P1,090,000. b. Cash dividend declared was P800,000. c. Equipment costing P600,000 and having carrying cost of P350,000 was sold for P350,000. Required: Determine the following: 1. Total net cash flow 2. Net cash flow from operating 3. Net cash flow from investing 4. Net cash flow from financing
Transcribed Image Text:II. The following changes in the statement of financial position accounts of BC were gathered for preparation of Statement on Cash Flow: Increase (Decrease) Cash 270,000 Short-term investment 200,000 Accounts receivable (20,000) Inventory 100,000 Noncurrent investment (100,000) Equipment 700,000 Accumulated depreciation - increase 50,000 Accounts payable (5,000) Dividends payable 160,000 Short-term notes, non-trade 300,000 Long-term debts 130,000 Ordinary share, P10 par 150,000 Share premium (APIC) 75,000 Accumulated profits 290,000 The following additional information relates to the same year: a. Net income was P1,090,000. b. Cash dividend declared was P800,000. c. Equipment costing P600,000 and having carrying cost of P350,000 was sold for P350,000. Required: Determine the following: 1. Total net cash flow 2. Net cash flow from operating 3. Net cash flow from investing 4. Net cash flow from financing
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