17th Edition

ISBN: 9781260218831

Author: Libby

Publisher: MCG CUSTOM

Concept explainers

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Before we begin to understand what Owner’s capital is and what Equity financing is to an organization, it is important to understand some basic accounting terminologies. A double-entry bookkeeping system Normal account balances are those which are expect…

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Textbook Question

Chapter 12, Problem 12.12E

Inferring Balance Sheet Changes from the Cash Flow Statement (Indirect Method)

A recent statement of cash flows for Apple contained the following information (dollars in millions):

Operations
Net income	$25,922
Depreciation	1,814
Changes in assets and liabilities
Accounts receivable	143
Inventories	275
Other current assets	(1,391)
Accounts payable	2,515
Deferred revenue	1,654
Other current liabilities	4,495
Other adjustments	2,102
Cash generated by operations	$37,529

Required:

For each of the asset and liability accounts listed on the statement of cash flows, determine whether the account balances increased or decreased during the period.

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Chapter 12, Problem 12.11E

Chapter 12, Problem 12.13E

Students have asked these similar questions

The following information is available from the current period financial statements: Net income $112,044 Depreciation expense 22,976 Increase in accounts receivable 14,959 Decrease in accounts payable 16,749 The net cash flow from operating activities using the indirect method is:

A recent statement of cash flows for Apple contained the following information (dollars in millions): Operations Net income $25,922 Depreciation 1,814 Changes in assets and liabilities Accounts receivable 143 Inventories 275 Other current assets (1,391) Accounts payable 2,515 Deferred revenue 1,654 Other current liabilities 4,495 Other adjustments 2,102 Cash generated by operations $37,529 For each of the asset and liability accounts listed on the statement of cash flows, determine whether the account balances increased or decreased during the period.

Accounting Suppose that a company's cash flow statement showed the following: o Net Income: $19,917.48 o Depreciation: $3,109.46 o Accounts receivable: $-996.63 o Inventory: $489.61 o Accounts payable: $984.18 What is this company's net cash from operating activities? $22,519.92 $23,014.49 $23,516.55 $20,394.64 $23,504.10

Chapter 12 Solutions

GB 112/212 MANAGERIAL ACC. W/ACCESS >C<

Ch. 12 - Prob. 1Q Ch. 12 - Prob. 2Q Ch. 12 - Prob. 3Q Ch. 12 - What are the major categories of business...Ch. 12 - Prob. 5Q Ch. 12 - Prob. 6Q Ch. 12 - Prob. 7Q Ch. 12 - Prob. 8Q Ch. 12 - Compare the two methods of reporting cash flows...Ch. 12 - Prob. 10Q

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