Question

22. $ 2.000 of the cash receipts, what amount should be added to the bank balance during reconciling the bank account? 23. When performine the bank reconciliation, how should the company treat check 11547 A. add $9,000 to the company cash account B. Subtract $9,000 from company cash account C. add $9,000 to bank statement balance D. subtract $9,000 from bank statement balance * 24. $ 21,230 The total amount needed to reconcile the company cash account was: 4 25. $S O SWhat is the company's cash balance after the reconciliation? Use the following to answer questions 26 - 32 Below is a summary of all transactions of KEV Consulting for the month of October. + $40,000 00967,000 + 777,000 Cash transactions Cash collections from: Sale of unused office furniture I Borrowing from bank Customers Cash payments for: Employee salaries Dividends to stockholders F Advertising expense Utilities expense o Purchased office equipment Office supplies Noncash Transactions Issue note payable for equipment Services to customers on account Purchase office equipment on account -555,000 - 75,000 -135,000 - 10,000 75,000 - 2,000 852,000 $350,000 125.000 25,000 Prepare a statement of cash flows for the month of October, properly classifying each of the transactions into operating, investing, and financing activities. The cash balance at the beginning of October is $55,000 26. $ 777,000 What is the amount of cash inflows from operating activities? 27. $707.00 What is the amount of cash outflows from operating activities? 2 7 5, 0 What is the Net Cash Flows from Operating Activities (if cash used, use"")? 20 - 55,000 What is the Net Cash Flows from Investing Activities (if cash used, use ? 20 1 5,000 What is the Net Cash Flows from Financing Activities (if cash used, use"? +31. $ 70,00D_How much did cash change (if decrease, use" 32. $ 95,000 What is the ending cash balance for the company?

Answer 1

26. Cash inflows from operating activities

Cash collection from customers

777,000

27. Cash outflow from operating activities

Cash payment for employees salaries	555,000
Cash payments for advertising expenses	135,000
Cash paid for utilities exepnses	10,000
Cash payment for office supplies	2,000
Cash outflow from operating activities	702,,000

28.net cash flows from operating activities

Cash inflows- cash outflow= 777,000-702,000

=75,000

29.Net cash flows from investing activities

Cash collection from sale of office furniture	40,000
Cash payment for purchase of office equipment	-75,000
Net cash usee from investing activities	-35,000

30.Net cash flows from Financing activities

Cash collection from borrowing from bank	150,000
Cash payment for dividends	-75,000
Net cash flows from Financing activities	75,000

31. Net increase in cash

Net cash flow from operating activities	75,000
Net cash flow from investing activities	-35,000
Net cash flow from Financing activities	75,000
Net increase in cash	115,000

32. Ending cash balance

Cash at beginning	55,000
Net increase in cash	115,000
Ending cash balance	170,000