Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"? Net Income 57000 Depreciation...

Question

Question

Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"? Net Income 57000 Depreciation...

Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"?

Net Income						57000
Depreciation						20000
Accounts Receivable						310000
Received $90,000 cash for issuance of notes payable						90000
Received $120,000 cash for issuance of common stock						120000
Paid $20,000 for purchase of treasury stock						20000
Ending cash balance						50000

business accounting

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Please find below the solution.. let me know if you need any clarification..

No purchase of fixed asset paying cash will increase fixed asset and will reduce cash. There is nothing to do with the Account receivable.

Account receivable will come into picture when you sale some thing on credit and you have debtor or receivable in the balance sheet which will pay to us later.

Add a comment

Answer 2

Similar Homework Help Questions

can someone show me how to create a cash flow statement with this please Create a...

can someone show me how to create a cash flow statement with this please Create a Cashflow statement using the following below: Jan-Feb Net Income 57000 Depreciation 20000 Purchased fixed assets paying cash 310000 Received $90,000 cash for issuance of notes payable 90000 Received $120,000 cash for issuance of common stock 120000 Paid $20,000 for purchase of treasury stock 20000 Ending cash balance 50000 Class Start Date Jan-Feb Assets 2017 2016 Current assets: Cash 50000 20000 Accounts receivable 75000 85000 Inventory 100000 80000 Long-term assets Plant assets 430000 120000 Accumulated depreciation 12000 9000 Total Assets 667000 314000 Liabilities Current liabilities ...
Create a Cashflow statement using the following below: &

Create a Cashflow statement using the following below: Jan-Feb Net Income 57000 Depreciation 20000 Purchased fixed assets paying cash 310000 Received $90,000 cash for issuance of notes payable 90000 Received $120,000 cash for issuance of common stock 120000 Paid $20,000 for purchase of treasury stock 20000 Ending cash balance 50000 Class Start Date Jan-Feb Assets 2017 2016 Current assets: Cash 50000 20000 Accounts receivable 75000 85000 Inventory 100000 80000 Long-term assets Plant assets 430000 120000 Accumulated depreciation 12000 9000 Total Assets 667000 314000 Liabilities Current liabilities Accounts payable 32000 20000 Accrued liabilities 86000 15000 Long-term liabilities Notes payable 90000 0 Total liabilities 208000 35000 Stockholders equity Common...
1) On January 1, 20X8, Nebraska Corporation acquired Mercantile Corporation's net assets by paying $190,000 cash....

1) On January 1, 20X8, Nebraska Corporation acquired Mercantile Corporation's net assets by paying $190,000 cash. Balance sheet data for the two companies and fair value information for Mercantile Corporation immediately before the business combination are given below: Nebraska Mercantile Book Value Book Value Fair Value Cash $ 200,000 $ 30,000 $ 30,000 Accounts Receivable 40,000 22,000 22,000 Inventory 120,000 25,000 31,000 Patents 50,000 20,000 45,000 Buildings and Equipment 330,000 250,000 170,000 Less: Accumulated Depreciation − 140,000 − 150,000 Total...

55. Servo industries net income was $300,000. Given the account information De the net cash flows...

55. Servo industries net income was $300,000. Given the account information De the net cash flows from operating activities for Servo Industries? the account information below, what is Decrease in Accounts Receivable Decrease in Salaries Payable Decrease in Inventory Depreciation Expense Increase in Interest Payable $ 50,000 $ 75,000 $ 20,000 $ 35,000 $ 7,000 A) $487,000 B) $323,000. C) $337,000 D) $237,000. 56. Listed below are several transactions. For each transaction, indicate by letter whether the cash effect of...
what is the retained earning December 31 Assets Cash $ 30,000 52,000 Accounts receivable Office supplies...

what is the retained earning December 31 Assets Cash $ 30,000 52,000 Accounts receivable Office supplies nterest receivable 16,000 18,000 168,000 Notes receivable Automobiles $ 168,000 118,000 50,000 138,000 Accumulated depreciation—Automobiles Equipment Accumulated depreciation Equipment Land 18,000 120,000 78,000 $ 600,000 Liabilities $ 96,000 20,000 Accounts payable nterest payable Salaries payable Unearned revenue Long-term notes payable 19,000 30,000 138,000 303,000 Equity Common stock 20,000 Equity Common stock 20,000 Retained earnings 20,000 $ 323,000 < Required B Required Credit $ Debit...
Cash Flows from Operating Activities-Indirect Method Staley Inc. reported the following data: Net income Depreciation expense...

Cash Flows from Operating Activities-Indirect Method Staley Inc. reported the following data: Net income Depreciation expense Loss on disposal of equipment Increase in accounts receivable Increase in accounts payable Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. $305,900 73,500 25,700 10,700 11,400 Staley Inc. Cash flows from operating activities: Adjustments to reconcile...

Williams Corporation pays cash of $250,000 to acquire the net assets of Frank Company on December...

Williams Corporation pays cash of $250,000 to acquire the net assets of Frank Company on December 31, 20XX. The balance sheets of Williams Corporation and Frank Company, as well as the fair value information for Frank Company, is provided on an Excel spreadsheet (linked in Module folder). Prepare the journal entry required by Williams Corporation when it acquires Frank Company’s net assets. Prepare a balance sheet for William Corporation immediately following the acquisition of Frank Company. Prepare the journal entry...
Cash $20,000 Accounts Receivable, Net 81,000 Merchandise Inventory 186,000 Total Assets 635,000 Accounts Payable 99,000 Accrued...

Cash $20,000 Accounts Receivable, Net 81,000 Merchandise Inventory 186,000 Total Assets 635,000 Accounts Payable 99,000 Accrued Liabilities 41,000 Short-term Notes Payable 48,000 Long-term Liabilities 224,000 Net Income 71,000 Common Shares Outstanding 10,000 1. Compute Road Trip's current ratio, debt ratio, and earnings per share. Round all ratios to two decimal places. 2. Compute the three ratios after evaluating the effect of each transaction that follows. Consider each transaction separately. a. Purchased merchandise inventory of $46,000 on account. b. Borrowed $122,000...
Using the income statements and changes in balance sheet accounts provided for Firms A and B,...

Using the income statements and changes in balance sheet accounts provided for Firms A and B, you will need to provide the following information: (c) Summary analysis of the statements of cash flows for Firms A and B (see Exhibit 4.6 on page 181 of your textbook): 1. Total inflows for Firm A 2. Total outflows for Firm A 3. Total inflows for Firm B 4. Total outflows for Firm B Income statement for year ended December 31,2015 Firm A...

On July 1, 2017, S company purchased Y company by paying $300,000 cash and issuing a...

On July 1, 2017, S company purchased Y company by paying $300,000 cash and issuing a $100,000 notes payable to y company. At July 1, 2017, the balance of Y Company was as follows Cash $50,000 Accounts Payable $200,000 Accounts Receivable $140,000 Stockholder's equity $285,000 Inventory $100,000 $485,000 Land $40,000 Building (Net) $75,000 Equipment (Net) $70,000 Trademarks $10,000 $485,000 The recorded amounts all approximate current values except for land (fair value of $50,000), inventory (fair value of $120,000), and trademarks...

Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"? Net Income 57000 Depreciation...

Homework Answers

Add Answer to:
Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"? Net Income 57000 Depreciation...

Post as a guest

Earn Coins

can someone show me how to create a cash flow statement with this please Create a...

Create a Cashflow statement using the following below: &

1) On January 1, 20X8, Nebraska Corporation acquired Mercantile Corporation's net assets by paying $190,000 cash....

55. Servo industries net income was $300,000. Given the account information De the net cash flows...

what is the retained earning December 31 Assets Cash $ 30,000 52,000 Accounts receivable Office supplies...

Cash Flows from Operating Activities-Indirect Method Staley Inc. reported the following data: Net income Depreciation expense...

Williams Corporation pays cash of $250,000 to acquire the net assets of Frank Company on December...

Cash $20,000 Accounts Receivable, Net 81,000 Merchandise Inventory 186,000 Total Assets 635,000 Accounts Payable 99,000 Accrued...

Using the income statements and changes in balance sheet accounts provided for Firms A and B,...

On July 1, 2017, S company purchased Y company by paying $300,000 cash and issuing a...

Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"? Net Income 57000 Depreciation...

Homework Answers

Add Answer to: Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"? Net Income 57000 Depreciation...

Post as a guest

Earn Coins

Add Answer to:
Is "Purchased fixed Assets paying cash" another way of saying "Account Receivable"? Net Income 57000 Depreciation...