Statement of Cash Flows The comparative balance sheet of Hirayama Industries Inc. for December 31, 20Y2 and 20Y1, is as follows: Dec. 31, 20Y2 Dec. 31, 20Y1 Assets Cash $234 $18 Accounts receivable (net) 70 63 Inventories 150 127 Land 320 422 Equipment 262 224 Accumulated depreciation—equipment (87) (54) Total assets $949 $800 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $65 $47 Dividends payable 6 - Common stock, $1 par 160 102 Excess of paid-in capital over par 109 90 Retained earnings 609 561 Total liabilities and stockholders' equity $949 $800 The following additional information is taken from the records: Land was sold for $153. Equipment was acquired for cash. There were no disposals of equipment during the year. The common stock was issued for cash. There was a $79 credit to Retained Earnings for net income. There was a $31 debit to Retained Earnings for cash dividends declared. a. Prepare a statement of cash flows, using the indirect method of presenting Cash flows from (used for) operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Hirayama Industries Inc. Statement of Cash Flows For the Year Ended December 31, 20Y2 Cash flows from (used for) operating activities: Net income $fill in the blank Adjustments to reconcile net income to net cash flows from (used for) operating activities: Depreciation fill in the blank Gain on sale of land fill in the blank Changes in current operating assets and liabilities: fill in the blank fill in the blank fill in the blank Net cash flow from operating activities $fill in the blank Cash flows from (used for) investing activities: $fill in the blank fill in the blank Net cash flow from investing activities fill in the blank Cash flows from (used for) financing activities: $fill in the blank fill in the blank Net cash flows from financing activities fill in the blank $fill in the blank Cash balance, January 1, 20Y2 fill in the blank Cash balance, December 31, 20Y2 $fill in the blank b. Was Hirayama Industries Inc.’s net cash flows from operations more or less than net income?

Statement of Cash Flows The comparative balance sheet of Hirayama Industries Inc. for December 31, 20Y2 and 20Y1, is as follows: Dec. 31, 20Y2 Dec. 31, 20Y1 Assets Cash $234 $18 Accounts receivable (net) 70 63 Inventories 150 127 Land 320 422 Equipment 262 224 Accumulated depreciation—equipment (87) (54) Total assets $949 $800 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $65 $47 Dividends payable 6 - Common stock, $1 par 160 102 Excess of paid-in capital over par 109 90 Retained earnings 609 561 Total liabilities and stockholders' equity $949 $800 The following additional information is taken from the records: Land was sold for $153. Equipment was acquired for cash. There were no disposals of equipment during the year. The common stock was issued for cash. There was a $79 credit to Retained Earnings for net income. There was a $31 debit to Retained Earnings for cash dividends declared. a. Prepare a statement of cash flows, using the indirect method of presenting Cash flows from (used for) operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Hirayama Industries Inc. Statement of Cash Flows For the Year Ended December 31, 20Y2 Cash flows from (used for) operating activities: Net income $fill in the blank Adjustments to reconcile net income to net cash flows from (used for) operating activities: Depreciation fill in the blank Gain on sale of land fill in the blank Changes in current operating assets and liabilities: fill in the blank fill in the blank fill in the blank Net cash flow from operating activities $fill in the blank Cash flows from (used for) investing activities: $fill in the blank fill in the blank Net cash flow from investing activities fill in the blank Cash flows from (used for) financing activities: $fill in the blank fill in the blank Net cash flows from financing activities fill in the blank $fill in the blank Cash balance, January 1, 20Y2 fill in the blank Cash balance, December 31, 20Y2 $fill in the blank b. Was Hirayama Industries Inc.’s net cash flows from operations more or less than net income?

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter15: Statement Of Cash Flows

Section: Chapter Questions

Problem 1PA

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Question

Statement of Cash Flows

The comparative balance sheet of Hirayama Industries Inc. for December 31, 20Y2 and 20Y1, is as follows:

	Dec. 31, 20Y2	Dec. 31, 20Y1
Assets
Cash	$234		$18
Accounts receivable (net)	70		63
Inventories	150		127
Land	320		422
Equipment	262		224
Accumulated depreciation—equipment	(87)		(54)
	Total assets	$949		$800
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors)	$65		$47
Dividends payable	6		-
Common stock, $1 par	160		102
Excess of paid-in capital over par	109		90
Retained earnings	609		561
	Total liabilities and stockholders' equity	$949		$800

The following additional information is taken from the records:

Land was sold for $153.
Equipment was acquired for cash.
There were no disposals of equipment during the year.
The common stock was issued for cash.
There was a $79 credit to Retained Earnings for net income.
There was a $31 debit to Retained Earnings for cash dividends declared.

a. Prepare a statement of cash flows, using the indirect method of presenting Cash flows from (used for) operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments.

Hirayama Industries Inc.
Statement of Cash Flows
For the Year Ended December 31, 20Y2
Cash flows from (used for) operating activities:
Net income	$fill in the blank
Adjustments to reconcile net income to net cash flows from (used for) operating activities:
Depreciation	fill in the blank
Gain on sale of land	fill in the blank
Changes in current operating assets and liabilities:
	fill in the blank
	fill in the blank
	fill in the blank
Net cash flow from operating activities		$fill in the blank
Cash flows from (used for) investing activities:
	$fill in the blank
	fill in the blank
Net cash flow from investing activities		fill in the blank
Cash flows from (used for) financing activities:
	$fill in the blank
	fill in the blank
Net cash flows from financing activities		fill in the blank
		$fill in the blank
Cash balance, January 1, 20Y2		fill in the blank
Cash balance, December 31, 20Y2		$fill in the blank

b. Was Hirayama Industries Inc.’s net cash flows from operations more or less than net income?

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