Explanation 1. ROLLING HILLS, INC Statement of Cash Flow December 31, 2018 Cash flow from Operating Activities: Cash receipts from customers $438,900 Cash received on interest revenue $8,700 Cash paid to suppliers $192,200 Cash paid for salaries expense $77,400 Cash paid for other operating expenses $10,200 Cash paid for interest expense $21,100 Cash paid for income tax expense $20,000 Cash paid for accrued liabilities $1,600 Net Cash flow from operating activities $125,100 Cash flow from Investing Activities: Purchase of Land $(21,100) Purchase of plant $(23,600) Net Cash flow from investing activities $(44,700) Cash flow from Financing Activities: Issue of Common Stock $24,400 Payment of Notes Payable $(29,000) Dividend Paid $(64,600) Net Cash flow from financing activities $(69,200) Net Increase in Cash $11,200 Cash Balance, December 31, 2017 $15,700 Cash Balance, December 31, 2018 $26,900 Non-cash investing and financing activities Acquisition of land by issuing long-term notes payable $21,100 Total Non-cash investing and financing activities $21,100 Accounts Receivable 12/31/2017 $25,400 Cash $438,900 Sales Revenue $440,000 12/31/2018 $26,500 Merchandise inventory 12/31/2017 $91,500 Purchase $197,500 12/31/2018 $79,800 P u r c h a s e = C o s t o f G o o d s S o l d + E n d i n g I n v e n t o r y ...

Horngren's Accounting, Student Value Edition (11th Edition)

11th Edition

ISBN: 9780133851182

Author: MILLER-NOBLES, Tracie L.; Mattison, Brenda L.; Matsumura, Ella Mae

Publisher: PEARSON

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Question

Chapter 16, Problem P16A.37APGA

To determine

Statement of Cash Flow:

Statement of Cash flow financial statement which shows the cash inflows and outflows of a company from operating activities, investing activities and financing activities during a particular period of time.

Non-Cash activities:

The activities which do not result in cash inflow and outflow are called non-cash activities.

To determine:

1. The statement of cash flows for 2018 by direct method.

2. How will what you learned in this problem help you evaluate an investment?

Expert Solution & Answer

Chapter 16 Solutions

Horngren's Accounting, Student Value Edition (11th Edition)

Ch. 16 - Prob. 1QC Ch. 16 - Prob. 2QC Ch. 16 - Prob. 3QC Ch. 16 - Prob. 4QC Ch. 16 - Prob. 5QC Ch. 16 - The Plant Assets account and Accumulated...Ch. 16 - Mountain Water Corp issued common stock of $28,000...Ch. 16 - Prob. 8QC Ch. 16 - Maxwell Furniture Center had accounts receivable...Ch. 16 - Prob. 10BQC

Ch. 16 - Prob. 1RQ Ch. 16 - Prob. 2RQ Ch. 16 - Prob. 3RQ Ch. 16 - Prob. 4RQ Ch. 16 - Prob. 5RQ Ch. 16 - Prob. 6RQ Ch. 16 - Prob. 7RQ Ch. 16 - Prob. 8RQ Ch. 16 - Prob. 9RQ Ch. 16 - Prob. 10RQ Ch. 16 - Prob. 11RQ Ch. 16 - Prob. 12RQ Ch. 16 - Prob. 13RQ Ch. 16 - Prob. 14RQ Ch. 16 - Prob. 15ARQ Ch. 16 - Prob. 16BRQ Ch. 16 - Prob. S16.1SE Ch. 16 - S16-2 Classifying items on the statement of cash...Ch. 16 - Prob. S16.3SE Ch. 16 - Prob. S16.4SE Ch. 16 - Prob. S16.5SE Ch. 16 - Prob. S16.6SE Ch. 16 - Prob. S16.7SE Ch. 16 - Prob. S16.8SE Ch. 16 - Prob. S16.9SE Ch. 16 - Prob. S16.10SE Ch. 16 - Prob. S16A.11SE Ch. 16 - Prob. S16A.12SE Ch. 16 - Prob. S16A.13SE Ch. 16 - Prob. S16A.14SE Ch. 16 - Prob. S16B.15SE Ch. 16 - Prob. E16.16E Ch. 16 - Prob. E16.17E Ch. 16 - Classifying items on the indirect statement of...Ch. 16 - Prob. E16.19E Ch. 16 - Prob. E16.20E Ch. 16 - Prob. E16.21E Ch. 16 - Prob. E16.22E Ch. 16 - Prob. E16.23E Ch. 16 - Prob. E16.24E Ch. 16 - Prob. E16.25E Ch. 16 - Prob. E16.26E Ch. 16 - Prob. E16A.27E Ch. 16 - Prob. E16A.28E Ch. 16 - Prob. E16A.29E Ch. 16 - Prob. E16A.30E Ch. 16 - Prob. E16B.31E Ch. 16 - Prob. P16.32APGA Ch. 16 - Prob. P16.33APGA Ch. 16 - Prob. P16.34APGA Ch. 16 - Prob. P16.35APGA Ch. 16 - Prob. P16A.36APGA Ch. 16 - Prob. P16A.37APGA Ch. 16 - Prob. P16B.38APGA Ch. 16 - Prob. P16.39BPGB Ch. 16 - Prob. P16.40BPGB Ch. 16 - Prob. P16.41BPGB Ch. 16 - Prob. P16.42BPGB Ch. 16 - Prob. P16A.43BPGB Ch. 16 - Prob. P16A.44BPGB Ch. 16 - Prob. P16B.45BPGB Ch. 16 - Prob. P16.46CP Ch. 16 - Decision Case 16-1 Theater by Design and Show...Ch. 16 - Ethical Issue 16-1 Moss Exports is having a bad...Ch. 16 - Prob. 16.1FSC

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