MANAGERIAL ACCOUNTING FUND. W/CONNECT
5th Edition
ISBN: 9781259688713
Author: Wild
Publisher: MCG
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Chapter 12, Problem 3PSB
To determine
(1)
Introduction:
Cash flow statements are the statements that determines the inflow and outflow of cash from three major activities that are carried out in a business i.e. operating activities, investing activities and financing activities.
To prepare:
Cash flows statements in the books of Gazelle Corporation for present year.
To determine
(1)
Introduction: Cash flow statements are the statements that determines the inflow and outflow of cash from three major activities that are carried out in a business i.e. operating activities, investing activities and financing activities.
To analyze: The cash flows statement prepared in part 1 and giving special attention on the wisdom of the cash dividend paid.
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[The following information applies to the questions displayed below.]Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses.
FORTEN COMPANYComparative Balance SheetsDecember 31
Current Year
Prior Year
Assets
Cash
$
58,900
$
79,500
Accounts receivable
74,830
56,625
Inventory
284,656
257,800
Prepaid expenses
1,270
2,015
Total current assets
419,656
395,940
Equipment
151,500
114,000
Accum.…
Use the following information for the Problems below.
Skip to question
[The following information applies to the questions displayed below.]Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses.
FORTEN COMPANYComparative Balance SheetsDecember 31
Current Year
Prior Year
Assets
Cash
$
58,900
$
79,500
Accounts receivable
74,830
56,625
Inventory
284,656
257,800
Prepaid expenses
1,270
2,015
Total current assets
419,656
395,940
Equipment
151,500
114,000
Accum.…
Chicken Wings Company is engaged in buying and selling of office equipment which caters both cash and on account sales to customers. The following are the transactions that affect accounts receivable during 2021:Sales (cash and on account), P591,050Cash received from cash customers, P205,175Cash received from credit customers (281,300 was received from customers who took advantage of the discount feature of the company’s credit term 3/10, n/30, P320,800Accounts written of as worthless, P4,955Credit memoranda issued to credit customers for sales returns and allowances, P26,275Cash refunds given to cash customers for sales returns and allowances, P16,972Recoveries on accounts written off as uncollectible in prior periods (not included in cash collections stated above), P6,615An aging of the receivables indicates that P17,300 of the accounts receivable balance are deemed uncollectible.The following balances were taken from the December 31, 2020 statement of financial position:Accounts…
Chapter 12 Solutions
MANAGERIAL ACCOUNTING FUND. W/CONNECT
Ch. 12 - Prob. 1MCQCh. 12 - Prob. 2MCQCh. 12 - Prob. 3MCQCh. 12 - Prob. 4MCQCh. 12 - Prob. 5MCQCh. 12 - Prob. 1DQCh. 12 - Prob. 2DQCh. 12 - Prob. 3DQCh. 12 - Prob. 4DQCh. 12 - Prob. 5DQ
Ch. 12 - Prob. 6DQCh. 12 - Prob. 7DQCh. 12 - Prob. 8DQCh. 12 - Prob. 9DQCh. 12 - Prob. 10DQCh. 12 - Prob. 11DQCh. 12 - Prob. 12DQCh. 12 - Prob. 13DQCh. 12 - Prob. 14DQCh. 12 - Prob. 15DQCh. 12 - Prob. 1QSCh. 12 - Prob. 2QSCh. 12 - Prob. 3QSCh. 12 - Prob. 4QSCh. 12 - The following information is necessary to answer...Ch. 12 - Refer to the balance sheet data above from Anders...Ch. 12 - Prob. 7QSCh. 12 - Prob. 8QSCh. 12 - Prob. 9QSCh. 12 - Prob. 10QSCh. 12 - Use the following balance sheet and income...Ch. 12 - Prob. 12QSCh. 12 - Prob. 13QSCh. 12 - Prob. 14QSCh. 12 - Prob. 15QSCh. 12 - Prob. 16QSCh. 12 - Prob. 17QSCh. 12 - Prob. 18QSCh. 12 - Prob. 19QSCh. 12 - Prob. 20QSCh. 12 - Prob. 1ECh. 12 - Prob. 2ECh. 12 - Prob. 3ECh. 12 - Prob. 4ECh. 12 - Prob. 5ECh. 12 - Prob. 6ECh. 12 - Prob. 7ECh. 12 - Prob. 8ECh. 12 - Prob. 9ECh. 12 - Prob. 10ECh. 12 - The following financial statements and additional...Ch. 12 - Prob. 12ECh. 12 - Complete the following spreadsheet in preparation...Ch. 12 - Prob. 14ECh. 12 - Prob. 15ECh. 12 - Prob. 16ECh. 12 - Prob. 17ECh. 12 - The following summarized Cash T-account reflects...Ch. 12 - Prob. 1PSACh. 12 - Refer to the information in problem 12-1A....Ch. 12 - Forten Company, a merchandiser, recently completed...Ch. 12 - Prob. 4PSACh. 12 - Refer to Forten Companys financial statements and...Ch. 12 - Golden Corp., a merchandiser, recently completed...Ch. 12 - Prob. 7PSACh. 12 - Prob. 8PSACh. 12 - Prob. 1PSBCh. 12 - Prob. 2PSBCh. 12 - Prob. 3PSBCh. 12 - Prob. 4PSBCh. 12 - Prob. 5PSBCh. 12 - Prob. 6PSBCh. 12 - Prob. 7PSBCh. 12 - Prob. 8PSBCh. 12 - Prob. 12SPCh. 12 - Prob. 1GLPCh. 12 - Prob. 3GLPCh. 12 - Prob. 1BTNCh. 12 - Prob. 2BTNCh. 12 - Prob. 3BTNCh. 12 - Prob. 4BTNCh. 12 - Prob. 5BTNCh. 12 - Prob. 6BTNCh. 12 - Prob. 7BTNCh. 12 - Prob. 8BTNCh. 12 - Prob. 10BTN
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- Chicken Wings Company is engaged in buying and selling of office equipment which caters both cash and on account sales to customers. The following are the transactions that affect accounts receivable during 2021:Sales (cash and on account), P715,171; Cash received from cash customers, P243,297; Cash received from credit customers (340,373 was received from customers who took advantage of the discount feature of the company’s credit term 3/10, n/30, P368,760; Accounts written of as worthless, P5,996; Credit memoranda issued to credit customers for sales returns and allowances, P29,250; Cash refunds given to cash customers for sales returns and allowances, P20,536; Recoveries on accounts written off as uncollectible in prior periods (not included in cash collections stated above), P8,004An aging of the receivables indicates that P20,933 of the accounts receivable balance are deemed uncollectible.The following balances were taken from the December 31, 2020 statement of financial…arrow_forwardRosalie Co. uses the gross method to record sales made on credit. On June 10,2018, it made sales of P100,000 with terms 2/10, n/30 to Finley Farms, Inc. On June 19, 2018, Rosalie received payment for % the amount due from Finley Farms. Rosalie's fiscal year end is on June 30,2018. What amount will be reported in the statement of financial position for the accounts receivable due from Finley Farms, Inc. ?arrow_forwardRequirements: 1. How much from the total collections were not able to avail of any of the cash discounts? 2. What is the net sales of the entity for 2016? 3. What is the adjusted balance of the Accounts Receivable account as of December 31, 2016?arrow_forward
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