STATEMENT OF CASH FLOWS (DIRECT METHOD) | ||
Cash flows from operating activities: | ||
Collection from customers | 308700 | |
Receipts of interest income | 15600 | |
Payments on accounts payable | -101200 | |
Payments of operating expenses | -46200 | |
Payments of salaries and wages | -64500 | |
Payment of income tax | -8000 | |
Payment of interest | -21400 | |
Net cash from operating activities | 83000 | |
Cash flows from investing activities: | ||
Purchase of equipment | -56500 | |
Net cash used by investing activities | -56500 | |
Cash flows from financing activities: | ||
Issuance of common stock | 60700 | |
Payment of note payable | -78000 | |
Payment of dividends | -1200 | |
Net cash from financing activities | -18500 | |
Increase in caah and cash equivalents | 8000 | |
Beginning balance of cash and cash equivalents | 87900 | |
Ending balance of cash and cash equivalents | 95900 |
P14A-19B 6 Preparing the statement of cash flows-direct method [45-60 min] To prepare the statement of...
Indigo Corp. uses the direct method to prepare its statement of cash flows and follows IFRS. Indigo’s trial balances at December 31, 2020 and 2019, were as follows: Debits Dec. 31, 2020 Dec. 31, 2019 Cash $55,090 $31,090 Accounts Receivable 33,520 30,270 Inventory 30,630 47,000 Property, Plant, and Equipment 96,040 90,410 Cost of Goods Sold 258,290 385,700 Selling Expenses 133,100 167,100 Administrative Expenses 144,900 156,200 Interest Expense 15,600 28,600 Income Tax Expense 20,200 56,200 $787,370 $992,570 Credits Allowance for Doubtful...
LO4 E11-35B. (Learning Objective 4: Prepare the statement of cash flows-direct method) The income statement and additional data of Jubilee World, Inc., follow: $ 222,000 11,500 $ 233,500 Jubilee World, Inc. Income Statement Year Ended June 30, 2018 Revenues: Sales revenue 4 Dividend revenue 5 Expenses: Cost of goods sold Salary expense Depreciation expense Advertising expense 10 Interest expense 11 Income tax expense 12 Net income 102,000 42.000 28,000 8.000 2.500 10.500 193,000 $40.500 Additional data: a. Collections from customers...
LO4 E11-35B. (Learning Objective 4: Prepare the statement of cash flows-direct method) The income statement and additional data of Jubilee World, Inc., follow: $ 222,000 11,500 $ 233,500 Jubilee World, Inc. Income Statement Year Ended June 30, 2018 Revenues: Sales revenue 4 Dividend revenue 5 Expenses: Cost of goods sold Salary expense Depreciation expense Advertising expense 10 Interest expense 11 Income tax expense 12 Net income 102,000 42.000 28,000 8.000 2.500 10.500 193,000 $40.500 Additional data: a. Collections from customers...
Cash Flows from Operating Activities-Direct Method The income statement for Rhino Company for the current year ended June 30 and balances of selected accounts at the beginning and the end of the year are as follows: $445,500 154,000 $291,500 Sales Cost of merchandise sold Gross profit Operating expenses: Depreciation expense Other operating expenses Total operating expenses Income before income tax Income tax expense $38,500 153,780 $137.720 39,600 Net Income $98,120 End of Year Beginning of Year Accounts receivable (net) $36,300...
Cash Flows from Operating Activities–Direct Method The income statement for Rhino Company for the current year ended June 30 and balances of selected accounts at the beginning and the end of the year are as follows: $445,500 (154,000) $291,500 Sales Cost of goods sold Gross profit Operating expenses: Depreciation expense Other operating expenses Total operating expenses $38,500 115,280 Income before income tax (153,780) $137,720 (39,600) $98,120 Income tax expense Net income End of Year Beginning of Year Accounts receivable (net)...
m Preparing a Statement of Cash Flows (Direct Method) Rainbow Company's income statement and comparative balance sheets follow. RAINBOW COMPANY Income Statement For Year Ended December 31, 2016 Sales $2,250,000 Dividend Income 45,000 2,295,000 $1,320,000 390,000 117,000 21,000 Total Revenue Cost of Goods Sold Wages and Other Operating Expenses Depreciation Expense Patent Amortization Expense Interest Expense Income Tax Expense Loss on Sale of Equipment Gain on Sale of Investments Net Income 39,000 132,000 15,000 (9,000) 2,025,000 $270,000 RAINBOW COMPANY Balance...
Preparing a Statement of Cash Flows (Direct Method) Rainbow Company's income statement and comparative balance sheets follow. RAINBOW COMPANY Income Statement For Year Ended December 31, 2016 Sales $6,750,000 Dividend Income 135,000 Total Revenue 6,885,000 Cost of Goods Sold $3,960,000 Wages and Other Operating Expenses 1,170,000 Depreciation Expense 351,000 Patent Amortization Expense 63,000 Interest Expense 117,000 Income Tax Expense 396,000 Loss on Sale of Equipment 45,000 Gain on Sale of Investments (27,000) 6,075,000 Net Income $810,000 RAINBOW COMPANY Balance Sheets...
**Prepare a statement of cash flow, using the direct method and separately, the indirect method of reporting cash flows from operating activities: The comparative balance sheets of Posner Company, for Years 1 and 2 ended December 31, appear below in condensed form: Cash Year 2 $ 53,000 Year 1 $ 50,000 Accounts receivable (net) 37,000 48,000 Inventories 108,500 100,000 Investments — 70,000 Equipment 573,200 450,000 Accumulated depreciation—equipment (142,000) (176,000) $629,700 $542,000 Accounts payable $ 62,500 $ 43,800 Bonds payable, due...
in order to prepare the statement of cash flows for royal corporation for 2018 direct method 111, Cash Flow Statement-direct method (25%) In order to prepare the statement of cash flows for Royal Corporation for 2018, the accountant has compiled the following data regarding cash flows: $48,000 $75,000 $19,500 $18,000 43,500 $27,000 $31,500 $36,000 $681,000 $531,000 $118,500 $201,000 $58,500 73,500 hases of marketable securities roceeds from sales of marketable securities nterest and dividends received nterest paid axes paid vidends paid...
Chapter 11 Practice Quiz eBook Calculator Exercise 11-48 (Appendix 11A) Preparing Net Cash Flows from Operating Activities--Direct Method Colassard Industries has the following data available for preparation of its statement of cash flows: Sales revenue Cost of goods sold Wages expense $385,800 203,100 62,400 13,780 15,150 27,400 Insurance expense Interest expense Income taxes expense Accounts receivable, decrease 15,600 8,710 Inventory, increase Prepaid insurance, increase Accounts payable, increase 1,550 O Notes payable, increase Interest payable, increase Wages payable, decrease No о...