Question

SP Problem 2-28 Statement of Cash Flows (LG2-5) Use the balance sheet and income statement below. Current asseta cash and marketable securities Accounts receivable Inventory Total Fixed aastai Gross plant and equipment Lessi Necumulated depreciation Net plant and equipment Other long-term assets VALTUN'S KEDICAL SUPPLY CORPORATION Balance sheet of December 31, 2010 and 2017 in thousands of dollars). 2017 Llabilities and Equity Current liabilities: 72 71 Meered wages and taxes 181 Accounts payable 221 Notes payable $ 521 543 Long-tem debe $1,073 Stockholdere equity! Preferred stock (6 thousand shares) Common stock and paid-in surplus (100 thousand shares) 134 134 Retained earning 51.961 30 Total $1,632 91.446 Total liabilities 882 9. Total assets VALION'S MEDICAL SUPPLY CORPORATION Tacome statement for Year Ending December 31, 2010 and 2017 in thousands of dollars) Lese: Cost of goods sold DEORD Protito Less: other operating expenses Earnings before interest, taxes, depreciation, and amortization (EBITDA) Loss Seculated depreciation Earnings before interest and taxes (EBIT) Lei Interest Larning before taxes (EDT) $ 375 131 230 Lees! Preferred stook dividende Net Income available to common stockholders LASSI common stock dividends Addition to retained earning. Per common) hare datai in perhe (425) Dividende per share (DPS) Book value per share (18) Market value price per here (VPS) $2.38 $7.34 $8.37 $6.19 Prepare statement of cash flows for Vallum's Medical Supply Corporation (Enter your answers in thousands. Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows for Year Ending December 31, 2018 in thousands of dollars) Cash news from operating activities

Answer 1

$244 33 6 Prepare a statement of cash flows for Valium's Medical Supply Corporation. Statement of Cash Flows for Year Ending December 31, 2018 (in thousands of dollars) Cash flows from operating activities Net income Additions (sources of cash): Depreciation Increase in accrued wages and taxes Increase in accounts payable Subtractions (uses of cash): Increase in accounts receivable Increase in inventory Net cash flow from operating activities Cash flows from investing activities Subtractions: Increase in fixed assets Increase in other long-term assets Net cash flow from investing activities $261 -$191 -$191

Cash flows from financing activities Additions: Increase in notes payable Increase in long-term debt Increase in common and preferred stock Subtractions: Preferred stock dividends Common stock dividends Net cash flow from financing activities Net change in cash and marketable securities -75 -$69 $1 Explanation: Increase in accrued wages and taxes ($46 - $41) = $5 Increase in accounts payable ($147 – $141) = $6 Increase in accounts receivable ($187 – $181) = $6 Increase in inventory ($312 – $291) = $21 Increase in fixed assets ($1,073 - $882) = $191 Increase in long-term debt ($568 - $556) = $12