Question

E11-19A (similar to) The income statement and additional data of Bryan Travel Products, Inc., follow (Click the icon to view the income statement.) Click the icon to view the additional data.) Requirements 1. Prepare Bryan's statement of cash flows for the year ended December 31, 2018, using the indirect method 2. Evaluate the company's cash flows for the year. In your evaluation, mention all three categories of cash flows and give the rationale for your evaluation, Year Ended December 31, 2018 Cash flows from operating activities: Adjustments to reconcile net income to net cash provided by (used for) operating activities: Choose from any list or enter any number in the input fields and then click Check Answer

Answer 1

Cash flow satetment
net income			55100
adjustments
add: depreciation			21000
add: decrease in accounts receivable			11000
add: decrease in inventory			31000
less: increase in prepaid expenses			-1100
add: increase in accounts payable			14000
less: decrease in accrued liabilities			-3000
cash flow from operating activities (1)			128000
cash flow from investing activities
acquisition of plant			-160000
proceeds from sale of land			27000
net cash flow from investing activities (2)			-133000
cash flow from financing activities
payment of dividend			-13000
payment of long term notes payable			-11000
proceeds from issue of common stock			47000
net cash flow from financing activities (3)			23000
net change in cash (1)+(2)+(3)			18000
add: cash balance at the beginning			57000
cash balance at the end			75000