Question

Based on the following information for XYZ, Inc., prepare the operating section of the statement of cash flows for 2021: 2021 2020 $ $ 8,836,351 16,918,496 1,475,769 7,520,299 24,789,005 1,545,308 17.50% + 31.75% - 4.50% - Revenues Gain / (loss) on sales of assets Total revenues Expenses: Cost of goods sold Operating expenses Depreciation expense Total expenses Net Income $ 104,558,367 Current assets (275,660) Accounts receivable 104,282,707 Inventory Prepaid expenses 54,370,351 21,957,257 Current liabilities 9,410,253 Accounts payable 85,737,861 Accrued liabilities $ 18.544,846 Income tax payable 5,702,052 1,085,206 4,580,116 8,909,456 995,602 3,785,220 -36.00% - 9.00% + 21.00% + $ $ XYZ, Inc. Statement of Cash Flows Increase in accounts payable Decrease in accounts payable Increase in accounts receivable Decrease in accounts receivable Increase in accrued liabilities Decrease in accrued liabilities Amortization Depreciation Gain on sale of assets Increase in interest payable Decrease in interest payable Increase in inventory Decrease in inventory Loss on sale of assets Net income Net loss Increase in prepaid insurance Decrease in prepaid insurance Increase in prepaid expenses Decrease in prepaid expenses Purchase of assets Sale of assets Sale of common stock Sale of bonds Repayments of bonds Purchase of treasury stock Increase in tax payable Decrease in tax payable Net cash from operations: $ 2. Based on the following information for ABC, Inc., prepare the operating section of the statement of cash flows for 2021: 2021 2020 $ $ $ 1,478,125 3,018,750 15,563 1,250,000 3,750,000 15,000 18.25% -19.50% 3.75% + - + Revenues Gain on sale of assets Total revenues Expenses: Cost of goods sold Operating expenses Depreciation expense Total expenses Net Income 7,055,398 Current assets 1,050,552 Accounts receivable 8,105,950 Inventory Prepaid expenses 3,809,915 1,693,296 Current liabilities 670,263 Accounts payable 6,173,473 Accrued liabilities 1,932.477 Taxes payable 1,129,313 3,283,385 67,703 1,585,000 2,905,650 76,500 -28.75% 13.00% -11.50% - + - $ $ nvesting and financing activities: Bought new equipment & vehicles Sold land and investments 4,108,557 10,622,807 Sold bonds Sold stock $ 10,000,000 $ 51,469,903 ABC, Inc. Statement of Cash Flows Net cash from investments: 675,881 Net cash from financing: Beginning cash from prior year. Total net cash generated: Cash flows: Net cash from operations: $ $ 675,881

Answer 1

1) cash flow from operating activities of xyz co.

  

net income		18544846
add/(less) items which affect cash defferently:-
add:depreciation	9410253
less:increase in account receivables	-1316052
add:decrease in inventory	7870509
add:decrease in prepaid expenses	69539
less:decrease in account payable	-3207404
add:increase in accrued liabilities	89604
add:increase in tax payable	794896	13711345
cash flow from operating activities		32256191

2) cash flow from operating activities of ABC INC,

-

net income		8106950
add/(less) items which affect cash defferently:-
less:gain on saleof asset	-1050552
add:depreciation	670263
less:increase in account receivables	-228125
add:decrease in inventory	731250
less:decrease in prepaid expenses	-563
less:decrease in account payable	-455687
add:increase in accrued liabilities	377735
less:decrease in tax payable	8797	53118
cash flow from operating activities		8160068