Homework Answers
Please find below the required answers:
a)
| Menachem MV | ||
| Cash Flow Statement | ||
| FY ended 31 Dec 2019 | ||
| Particulars | Amount | |
| Cash flow from operating activities | ||
| Net Income | $ 34,000 | |
| Addition to Cash | ||
| Depreciation | $ 6,000 | |
| Increase in accounts payable | $ 5,000 | $ 11,000 |
| Subtraction to Cash | ||
| Increase in accounts receivable | $ (18,000) | |
| Net cash from operations | $ 27,000 | |
| Cash flow from investing activities | ||
| Purchase of equipment | $ (15,000) | |
| Cash Flow from Financing activities | ||
| Issue of shares | $ 20,000 | |
| Dividend payable | $ (23,000) | $ (3,000) |
| Net increase or decrease in cash or cash equivalent | $ 9,000 | |
| Add: Opening Cash balance | $ 13,000 | |
| Closing Cash balance | $ 22,000 | |
b)
| Particulars | 1st Jan 2019 | 31st Dec 2019 |
| Accounts Receivables | 88000 | 106000 |
| Cash | 13000 | 22000 |
| Current Assets | 101000 | 128000 |
| Current Liabilities | ||
| Accounts Payable | 15000 | 20000 |
| Current Ratio | 6.7 | 6.4 |
| Net income | $ 34,000 |
| Depreciation | $ 6,000 |
| Less: Change in WC | $ (13,000) |
| Less: Capital Expenditure | $ (15,000) |
| Free Cash Flow | $ 12,000 |
c) The current ratio of Menachem NV is more than 6 thus the liquidity position is very good and the liabilities are well covered.
Adding on the free cash flow is also positive thus we can consider the organization is in a financially flexible position.
Add Answer to:
E5.18 (LO3, 4) (Preparation of a Statement of Cash Flows, Analysis) The comparative statements of financial...
Preparation of a Statement of Cash Flows, Analysis) The comparative balance sheets of Madrasah Corporation at...
Preparation of a Statement of Cash Flows, Analysis) The comparative balance sheets of Madrasah Corporation at the beginning and end of the year 2020 appear below. Madrasah Corporation Balance Sheets Assets Dec. 31, 2020 Jan. 1, 2020 Inc./Dec. Cash $ 20,000 $ 13,000 $ 7,000 Inc. Accounts receivable 106,000 88,000 18,000 Inc. Equipment 39,000 22,000 17,000 Inc. Less: Accumulated depreciation—equipment 17,000 11,000 6,000 Inc. Total $148,000 $112,000 Liabilities and Stockholders' Equity Accounts payable $ 20,000 $ 15,000 5,000 Inc. Common...
E5.16 (L03) (Preparation of a Statement of Cash Flows) A comparative statement of financial position for...
E5.16 (L03) (Preparation of a Statement of Cash Flows) A comparative statement of financial position for for Orozco AG is presented below. December 31 Assets 2019 2018 Land € 71,000 €110,000 Equipment 270,000 200,000 Accumulated depreciation equipment (69,000) (42,000) Inventory 180,000 189,000 Accounts receivable 82,000 66,000 Cash 63.000 22.000 Total €597,000 €545,000 Equity and Liabilities Share capital-ordinary (€1 par) €214,000 €164,000 Retained earnings 199,000 134,000 Bonds payable 150,000 200,000 Accounts payable 34,000 47,000 Total €597,000 €545,000 Additional information: 1. Net...
The comparative balance sheets of Pronghorn Corporation at the beginning and end of the year 2020...
The comparative balance sheets of Pronghorn Corporation at the beginning and end of the year 2020 appear below. Inc./Dec. PRONGHORN CORPORATION BALANCE SHEETS Dec. 31, 2020 Jan 1, 2020 Assets Cash $22,120 $14,770 Accounts receivable 108,120 89,770 Equipment 41,120 23,770 Less: Accumulated Depreciation-Equipment (17,000) (11,000) Total $154,360 $117,310 Liabilities and Stockholders' Equity Accounts payable $22,120 $16,770 Common stock 102,120 81,770 Retained earnings 30,120 18,770 Total $154,360 $117,310 $7,350 Inc. 18,350 Inc. 17,350 Inc. 6,000 Inc. 5,350 Inc. 20,350 Inc. 11,350...
Question 6 Comparative statements of financial position for Campbell Inc. appear below: CAMPBELL INC. Comparative Statements...
Question 6 Comparative statements of financial position for Campbell Inc. appear below: CAMPBELL INC. Comparative Statements of Financial Position ––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––– Assets Dec. 31, 2016 Dec. 31, 2015 Cash $ 29,000 $10,000 Accounts receivable 28,000 19,000 Prepaid expenses 9,000 12,000 Merchandise inventory 37,000 27,000 Long-term investments 35,000 53,000 Equipment 75,000 48,000 Accumulated depreciation—equipment (26,000) (22,000) Total assets $187,000 $174,000 Liabilities and Shareholders' Equity Accounts payable ...
Q4. The financial statements of NYC Inc. include the following items: Current Year Preceding Year *********...
Q4. The financial statements of NYC Inc. include the following items: Current Year Preceding Year ********* Balance Sheet: Cash. Short-term invesuments Na receivables Inventory Prepaid expenses Total current assets Total current liabilities. Income Statement: Net credit sales. Cost of goods sold $ 17,000 11,000 64.000 77,000 16,000 $185.000 $111.000 $ 22.000 26,000 73.000 71,000 8.000 $200,000 $ 91.000 $654.000 327.000 Requirement: Compute the following ratios for the current year: a) Current ratio b) Accounts receivable turnover c) Quick (acid-test) ratio...
Statement of Cash Flows (Direct Method) The Forrester Company’s income statement and comparative balance sheets as...
Statement of Cash Flows (Direct Method) The Forrester Company’s income statement and comparative balance sheets as of December 31 of 2019 and 2018 are shown below: FORRESTER COMPANY Income Statement For the Year Ended December 31, 2019 Sales Revenue $660,000 Cost of Goods Sold $376,000 Wages Expense 107,000 Depreciation Expense 22,000 Rent Expense 28,000 Income Tax Expense 24,000 557,000 Net Income $103,000 FORRESTER COMPANY Balance Sheets Dec. 31, 2019 Dec. 31, 2018 Assets Cash $58,000 $30,000 Accounts Receivable 52,000 60,000...
Exercise 12-17B Direct: Preparing statement of cash flows LO P5 The following financial statements and additional...
Exercise 12-17B Direct: Preparing statement of cash flows LO P5 The following financial statements and additional information are reported. 2018 IKIBAN INC. Comparative Balance Sheets June 30, 2019 and 2018 2019 Assets Cash $ 82,100 Accounts receivable, net 78,500 Inventory 72,800 Prepaid expenses 5,300 Total current assets 238,700 Equipment 133,000 Accum. depreciation-Equipment (31,500) Total assets $340,200 Liabilities and Equity Accounts payable $ 34,000 Wages payable 6,900 Income taxes payable 4,300 Total current liabilities 45,200 Notes payable (long term) 31,800 Total...
Financial Ratio Analysis 2.3 Table P2.3 shows financial statements for Nano Networks, Inc. The closing stock...
Financial Ratio Analysis 2.3 Table P2.3 shows financial statements for Nano Networks, Inc. The closing stock price for Nano Network was $56.67 (split adjusted on December 31, 2005. On the basis of the financial data presented, compute the various financial ratios and make an informed analysis of Nano's financial health. | TABLE P2.3 Balance Sheet for Nano Networks, Inc. Dec. 2005 Dec. 2004 U.S. $ (000) U.S. $ (000) (Year) (Year) 20,098 Balance Sheet Summary Cash Securities Receivables Allowances Inventory...
The following financial statements and additional information are reported. IKIBAN INC. Comparative Balance Sheets Ju...
The following financial statements and additional information
are reported.
IKIBAN INC.
Comparative Balance Sheets
June 30, 2019 and 2018
2019
2018
Assets
Cash
$
77,900
$
60,000
Accounts receivable, net
89,000
67,000
Inventory
79,800
110,500
Prepaid expenses
6,000
8,600
Total current assets
252,700
246,100
Equipment
140,000
131,000
Accum. depreciation—Equipment
(35,000
)
(17,000
)
Total assets
$
357,700
$
360,100
Liabilities and Equity
Accounts payable
$
41,000
$
54,000
Wages payable
7,600
18,200
Income taxes payable
5,000
7,000
Total current liabilities...
Question 1 (30 marks) The condensed comparative statement of financial position and income statement (statements not...
Question 1 (30 marks) The condensed comparative statement of financial position and income statement (statements not in proper form) for Soccer Inc. as at/ for the year ended June 30, 2019, are as follows: SOCCER INC. Statement of Financial Position June 30, 2019 2018 Cash $9,500 $12,500 Accounts receivable 31,000 23,200 Interest receivable 1,600 900 Notes receivable 20,000 18,500 Inventory 63,600 56,000 Investments - at cost 20,000 16,250 Land 24,000 28,000 Building 100,000 72,000 Accumulated dep - building (48,000) (40,000)...
E5.16 (L03) (Preparation of a Statement of Cash Flows) A comparative statement of financial position for for Orozco AG is presented below. December 31 Assets 2019 2018 Land € 71,000 €110,000 Equipment 270,000 200,000 Accumulated depreciation equipment (69,000) (42,000) Inventory 180,000 189,000 Accounts receivable 82,000 66,000 Cash 63.000 22.000 Total €597,000 €545,000 Equity and Liabilities Share capital-ordinary (€1 par) €214,000 €164,000 Retained earnings 199,000 134,000 Bonds payable 150,000 200,000 Accounts payable 34,000 47,000 Total €597,000 €545,000 Additional information: 1. Net...
The comparative balance sheets of Pronghorn Corporation at the beginning and end of the year 2020 appear below. Inc./Dec. PRONGHORN CORPORATION BALANCE SHEETS Dec. 31, 2020 Jan 1, 2020 Assets Cash $22,120 $14,770 Accounts receivable 108,120 89,770 Equipment 41,120 23,770 Less: Accumulated Depreciation-Equipment (17,000) (11,000) Total $154,360 $117,310 Liabilities and Stockholders' Equity Accounts payable $22,120 $16,770 Common stock 102,120 81,770 Retained earnings 30,120 18,770 Total $154,360 $117,310 $7,350 Inc. 18,350 Inc. 17,350 Inc. 6,000 Inc. 5,350 Inc. 20,350 Inc. 11,350...
Q4. The financial statements of NYC Inc. include the following items: Current Year Preceding Year ********* Balance Sheet: Cash. Short-term invesuments Na receivables Inventory Prepaid expenses Total current assets Total current liabilities. Income Statement: Net credit sales. Cost of goods sold $ 17,000 11,000 64.000 77,000 16,000 $185.000 $111.000 $ 22.000 26,000 73.000 71,000 8.000 $200,000 $ 91.000 $654.000 327.000 Requirement: Compute the following ratios for the current year: a) Current ratio b) Accounts receivable turnover c) Quick (acid-test) ratio...
Exercise 12-17B Direct: Preparing statement of cash flows LO P5 The following financial statements and additional information are reported. 2018 IKIBAN INC. Comparative Balance Sheets June 30, 2019 and 2018 2019 Assets Cash $ 82,100 Accounts receivable, net 78,500 Inventory 72,800 Prepaid expenses 5,300 Total current assets 238,700 Equipment 133,000 Accum. depreciation-Equipment (31,500) Total assets $340,200 Liabilities and Equity Accounts payable $ 34,000 Wages payable 6,900 Income taxes payable 4,300 Total current liabilities 45,200 Notes payable (long term) 31,800 Total...
Financial Ratio Analysis 2.3 Table P2.3 shows financial statements for Nano Networks, Inc. The closing stock price for Nano Network was $56.67 (split adjusted on December 31, 2005. On the basis of the financial data presented, compute the various financial ratios and make an informed analysis of Nano's financial health. | TABLE P2.3 Balance Sheet for Nano Networks, Inc. Dec. 2005 Dec. 2004 U.S. $ (000) U.S. $ (000) (Year) (Year) 20,098 Balance Sheet Summary Cash Securities Receivables Allowances Inventory...
The following financial statements and additional information
are reported.
IKIBAN INC.
Comparative Balance Sheets
June 30, 2019 and 2018
2019
2018
Assets
Cash
$
77,900
$
60,000
Accounts receivable, net
89,000
67,000
Inventory
79,800
110,500
Prepaid expenses
6,000
8,600
Total current assets
252,700
246,100
Equipment
140,000
131,000
Accum. depreciation—Equipment
(35,000
)
(17,000
)
Total assets
$
357,700
$
360,100
Liabilities and Equity
Accounts payable
$
41,000
$
54,000
Wages payable
7,600
18,200
Income taxes payable
5,000
7,000
Total current liabilities...
Most questions answered within 3 hours.
-
An entomologist discovers a dung beetle rolling a ball of dung
along the ground, and decides...
asked 46 minutes ago -
Humans have used horses for transportation for millions of
years. Therefore, they will use horses for...
asked 2 hours ago -
The following are the Jensen Corporation's unit costs of making
and selling an item at a...
asked 3 hours ago -
Does direct Medicare reimbursement of Advanced practice nurses
increase access to their services?
asked 4 hours ago -
List and explain why a company would choose to use a
published
compensation survey vs. creating...
asked 4 hours ago -
A discrete random variable X can take values from 1 to 10. Find
the variance of...
asked 4 hours ago -
The primary financial goal of a corporation is to maximize:
shareholders wealth.
earnings per share.
stock...
asked 4 hours ago -
determine whether the vectors u=(1,2,3,), v=(-2,1,0) and
w=(1,0,1) are linearly dependent or independent.
asked 4 hours ago -
python
Define a function called print_values which takes a dictionary
object as a parameter. The function...
asked 5 hours ago -
In Chapter 1 you created a program named Triangle in
which you displayed a seven-line triangle...
asked 5 hours ago -
Research question: What are the differences between separately
stated and non separately stated transactions in an...
asked 5 hours ago -
By using Arduino write a code that connects two LEDs to two
push-buttons. Each button controls...
asked 6 hours ago