CONNECT F/ INTERMEDIATE ACCTING>I<
10th Edition
ISBN: 9781260951585
Author: SPICELAND
Publisher: MCG
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Chapter 21, Problem 21.22E
Indirect method; reconciliation of net income to net
• LO21–4
The accounting records of Baddour Company provided the data below. Prepare a reconciliation of net income to net cash flows from operating activities.
| Net loss | $5,000 |
| 6,000 | |
| Increase in salaries payable | 500 |
| Decrease in |
2,000 |
| Increase in inventory | 2,300 |
| Amortization of patent | 300 |
| Reduction in discount on bonds | 200 |
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PB12. LO 16.5 The following shows excerpts from financial infomation relating to Stanwell Company and Thodes Company.
Stanwell
Thodes
Net cash flows operating activities
138,000
115,000
total assets
272,000
35,0000
net income
35,000
32,000
sales revenue
385,000
250,000
capital expenditures
28,000
60,000
dividend payments
17,000
13,000
compute the following for both companies. compare your results.
A. free cash flow
B. Cash flows to sales ratio
C. Cash flows to assets ratio
EB4. LO 16.3 Use the following information from Hamlin Company’s financial statements to determine operating net cash flows (indirect method).
Net Income $113,750
Change in accumulated depreciation (no sale of depreciable assets this year) $9,800
Gain on sale of investments $11,400
What are the spontaneous liabilities on this balance sheet?
Cash
$ 174.90
$ 201.14
Accounts receivable
$ 741.80
$ 853.07
Inventory
$ 1,366.40
$ 1,571.36
Other current assets
$ 174.10
$ 200.22
Total current assets
$ 2,457.20
$ 2,825.78
Net plant and equipment
$ 1,266.40
$ 1,456.36
Other long-term assets
$ 76.30
$ 87.75
Total assets
$ 3,799.90
$ 4,369.89
Accounts payable
$ 192.80
$ 221.72
Accrued expenses
$ 348.90
$ 401.24
Short-term debt
$…
Chapter 21 Solutions
CONNECT F/ INTERMEDIATE ACCTING>I<
Ch. 21 - Effects of all cash flows affect the balances of...Ch. 21 - Prob. 21.2QCh. 21 - Prob. 21.3QCh. 21 - Prob. 21.4QCh. 21 - Prob. 21.5QCh. 21 - Prob. 21.6QCh. 21 - Prob. 21.7QCh. 21 - The sale of stock and the sale of bonds are...Ch. 21 - Does the statement of cash flows report only...Ch. 21 - Prob. 21.10Q
Ch. 21 - Perhaps the most noteworthy item reported on an...Ch. 21 - Prob. 21.12QCh. 21 - Given sales revenue of 200,000, how can it be...Ch. 21 - Prob. 21.14QCh. 21 - When determining the amount of cash paid for...Ch. 21 - Prob. 21.16QCh. 21 - When using the indirect method of determining net...Ch. 21 - Prob. 21.18QCh. 21 - Prob. 21.19QCh. 21 - Where can we find authoritative guidance for the...Ch. 21 - U.S. GAAP designates cash outflows for interest...Ch. 21 - Prob. 21.1BECh. 21 - Prob. 21.2BECh. 21 - Prob. 21.3BECh. 21 - Prob. 21.4BECh. 21 - Investing activities LO215 Carter Containers sold...Ch. 21 - Financing activities LO216 Refer to the situation...Ch. 21 - Prob. 21.11BECh. 21 - Prob. 21.12BECh. 21 - Classification of cash flows LO213 through LO216...Ch. 21 - Indirect method; reconciliation of net income to...Ch. 21 - Prob. 21.29ECh. 21 - Prob. 21.30ECh. 21 - Prob. 21.31ECh. 21 - Prob. 21.32ECh. 21 - Prob. 21.1PCh. 21 - Research Case 219 FASB codification; locate and...Ch. 21 - IFRS Case 2110 Statement of cash flows...
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