Sunland Corporation had the following activities in
2017.
Concord Company’s income
statement for the year ended December 31, 2017, contained the
following condensed information.
Concord’s balance sheet contained the following comparative data at December 31.
(Accounts payable pertains to operating expenses.) Prepare the operating activities section of the statement of cash flows using the direct method.
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Compute the amount Sunland should report as net cash provided
(used) by financing activities in its 2017 statement of cash flows.
(Show amounts that decrease cash flow with either a -
sign e.g. -15,000 or in parenthesis e.g.
(15,000).)
Net cash
usedprovided by financing activities |
$ |
CONCORD COMPANY | ||
Statement of Cash Flows (Partial) | ||
For the Year Ended December 31, 2017 | ||
Cash Flows from Operating Activities | ||
Cash Receipts from Customers | 862000 | |
Cash Payments for Operating Expenses | -612000 | |
Cash Payments for Income Taxes | -44000 | |
-656000 | ||
Net Cash Provided by Operating Activities | 206000 |
Working:
Cash Receipts from Customers: | |
Service revenue | 843000 |
Add: Decrease in Accounts receivable | 19000 |
862000 | |
Cash Payments for Operating Expenses: | |
Operating expenses | 622000 |
Less: Increase in Accounts payable | 10000 |
612000 | |
Cash Payments for Income Taxes: | |
Income tax expense | 40000 |
Add: Decrease in Income taxes payable | 4000 |
44000 |
Sunland Corporation had the following activities in 2017. Concord Company’s income statement for the year ended...
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