Question

Blue Circle Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, Year 2 Dec. 31, Year 1 Accounts receivable $26,800 $22,300 Inventory 45,300 51,500 Accounts payable 27,000 23,100 Dividends payable 24,000 26,000 Adjust net income of $117,500 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.

X CengageNOW2|Online teach X 1Onelogin Inventory AutoFair Subaru cf X C Adjustments To Net Income-X Mchammed Corporation's Cor X X v2.cengagenow.com/ilm/takeAssignment/takeAssignmentMain.do?invoker=assignments&take AssignmentSession Locator= assign ment-take&inpr.. C Paused DJetblue email Ch 16-2 Practice Exercises eBook Show Me How Calculator Print Item Changes in Current Operating Assets and Liabilities-Indirect Method 1. PE.16-01A Blue Circle Corporation's comparative balance sheet for current assets and liabilities was as follows: PE.16-01B Dec. 31, Year 2 Dec. 31, Year 1 3. PE.16-02.ALGO $25,800 Accounts recelvable $22,300 Invantary 45,300 51,500 4. PE.16-03.ALGO Accounts payeble 27,000 23,100 Dividends payable 24,000 26,000 5. PE.16-04.ALGO Adjust net income of $117,500 for changes in operating assets and liabilities to arive at net cash flow from operating activities 6. PE.16-05.ALGO S 125,100 X Feedback Check My ork Once vou have calculated the changes in the current operating assets and liabilities determine what impact those changes would have on cash. For example if accounts receivable has increased from last yaar to this year does that mean the company has collected more cash or lass cash? If accounts payable has decreased daes that mean the company has more cash or less cash? Previous Check My Work 1 mara Check My Work uses ramaining. Next Progress: 4/6 items All work saved Assignment Score: 33.33 % Ermail Instructor Submit Assignment for Grading Save and Exit 2:31 PM O H Type here to search A 12 16 11/29/2019

Answer 1

Cashtlow Statement Partiulars Amount Amount Net Income I7,SOO Adjustmente fox Changer n bODr bing copital 4500) Less: Accounts Peceivable mcreend Add Decreate An mventory Add: mereae in Accounts payable 3900 C2000) 3600 Less: Decreane fn Diidandupayable Net tashltowor trom opevafng Achivilies $1a1,100