Question

helllo! i need help figuring out this managerial accouting! i need to fill all the blanks! i keep getting stuck! any help?

Operating Activities Class Full Problem Full Cash Flow Stmt- Prepare a State of Cash Flow The following is Folex Company's income statement and balance sheet in millions): Additions to Net Income crease in t he Deactionrm Net Income Increase Incri tory Inci paidats Decreased counts payable Decrease accrued liabilities 3750 450 $300 100 5200 15 Decin paidat Increase accounts payable Increase in accrued liabilities Cash Flow From Operating Activities Net Income $185 $110 Net Cash Provided by Operating Activities Cash Flows From Investing Activities Income Statement For the Year Ending 12/31/12 Sales Cost of goods sold Gross profit Operating expenses Income before interest and taxes Interest expense Income before taxes Income tax expense Net income Balance Sheet December 31 2012 Cash Accounts receivable Inventory Prepaid insurance Total current assets Property and equipment 1.250 Accumulated depreciation (175 Total property and equipment Total assets Accounts payable Income taxes payable Total current abilities Bonds payable Totabilities Common stock Retained aming Total stockholders' equity Total liabilities and stockholders' equity 51.522 225 Net Cash Used in Investing Activities Cash Flows from Financing Activites དྷཱ ཙྪི ཚེ ལཙྩ #F | # ## ༔ Net Cash Provided by Financing Activities Net increderea in Cash Cash at r of the year Cash af fod the war View PDE

Answer 1

Answer with working notes is given below

For first one also answer is given as per indirect method

($ in millions) FOLEX COMPANY Cash Flow Statement under Indirect method Cash flows from Operating Activities Amount Net Income $110 Add back: Depreciation $35 ($175-$140) Changes in Working Capital Increase in Accounts Receivable ($40) ($155-$115) Increase in Inventory ($35) ($225-$190) Decrease in prepaid insurance $10 ($32-$22) Decrease in Accounts payable ($15) ($135-$120) Decrease in Income tax payable ($20) ($175-$155) Net Cash provided by Operating Activities $45 Cash flows from Investing Activities Purchase of Property and Equipment ($200) ($1,250-$1,050) Net Cash used in Investing Activities ($200) Cash flows from Financing Activities Issue of Common stock $50 ($525-$475) Bonds raised during the year $75 ($400-$325) Dividend paid ($5) ($217+$110-$322) Net Cash provided by Financing Activities $120 Net increase /(decrease) in cash ($35) Cash at beginning of the year Cash at end of the year $45 TWO KICKS COMPANY Cash Flow Statement under Indirect method Cash flows from Operating Activities Amount Net Income $50,000 Add back: Depreciation $70,000 ($270,000-$200,000) Changes in Working Capital Decrease in Accounts Receivable $5,000 ($55,000-$50,000) Increase in Inventory $50,000 ($175,000-$125,000) Decrease in Accounts payable $5,000 ($110,000-$105,000) Net Cash provided by Operating Activities $180,000 Cash flows from Investing Activities Purchase of Property and Equipment ($185,000) ($930,000-$745,000) Net Cash used in Investing Activities ($185,000) Cash flows from Financing Activities Issue of Common stock $70,000 ($350,000-$280,000) Bonds re-paid during the year ($20,000) ($200,000-$180,000) Dividend paid ($25,000) Net Cash provided by Financing Activities $25,000 Net increase /(decrease) in cash $20,000 Cash at beginning of the year $45,000 Cash at end of the year $65,000 Beg RE Plus Net Income Minus dividend End RE $235,000 $50,000 -$25,000 $260,000