24 MONTH MYLAB (MAN)
7th Edition
ISBN: 9780136503521
Author: MILLER-NOBLES
Publisher: PEARSON
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Textbook Question
Chapter 14, Problem 5QC
Leather Shop earned net income of $57,000 after deducting
a. $40,000
b. $66,000
c. $48,000
d. $74,000
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Students have asked these similar questions
Burch Company
Income Statement
For the year ended December 31
Sales
$250,000
Cost of goods sold
(160,000)
Depreciation expense
(26,400)
Other expenses
(35,000)
Income tax expense
(12,000)
Net income
$16,600
Required:
Compute the net cash flows from operating activities using the indirect method.
33,200 X
Leather Shop earned net income of $57,000 after deducting depreciation of $5,000 and all other expenses. Current assets decreased by $4,000, and current liabilities increased by $8,000. How much was Leather Shop’s cash provided by operating activities (indirect method)?
a. $40,000
b. $66,000
c. $48,000
d. $74,000
An analysis of the general ledger accounts indicates that delivery equipment, which cost $200,000 and on which accumulated depreciation totaled $60,000 on the date of sale, was sold for $132,500 during the year.
Using this information, indicate the items to be reported on the statement of cash flows.
Transaction
Section of Statement of Cash Flows
Added or Deducted
$200,000 cost of equipment
$60000 accumulated depreciation
$132,500 sales price
$7,500 loss on sale of equipment(assume the indirect method is used)
Chapter 14 Solutions
24 MONTH MYLAB (MAN)
Ch. 14 - The purposes of the statement of cash flows are to...Ch. 14 - The main categories of cash flow activities are a....Ch. 14 - Operating activities are most closely related to...Ch. 14 - Which item does not appear on a statement of cash...Ch. 14 - Leather Shop earned net income of 57,000 after...Ch. 14 - The Plant Assets account and Accumulated...Ch. 14 - Mountain Water Corp. issued common stock of 28,000...Ch. 14 - Prob. 8QCCh. 14 - Prob. 9AQCCh. 14 - If accrued liabilities increased during the year,...
Ch. 14 - Prob. 1RQCh. 14 - How does the statement of cash flows help users of...Ch. 14 - Describe the three basic types of cash flow...Ch. 14 - What types of transactions are reported in the...Ch. 14 - Prob. 5RQCh. 14 - Prob. 6RQCh. 14 - Explain why depreciation expense, depletion...Ch. 14 - Prob. 8RQCh. 14 - If current assets other than cash increase, what...Ch. 14 - If current liabilities increase, what is the...Ch. 14 - Prob. 11RQCh. 14 - Prob. 12RQCh. 14 - Prob. 13RQCh. 14 - Prob. 14RQCh. 14 - Prob. 15ARQCh. 14 - Prob. 16BRQCh. 14 - Describing the purposes of the statement of cash...Ch. 14 - Prob. 14.2SECh. 14 - Classifying items on the indirect statement of...Ch. 14 - Classifying cash flow items Consider the following...Ch. 14 - Prob. 14.17ECh. 14 - Prob. 14.18E
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