Question

Below are the income statement and comparative balance sheet of Doome Corporation for your ending Dec 31, 2019 is given below. All amounts in Canadian dollars Required. Prepare the cashflowmet, clearly including operating icing and investing activities up to the nel change in cash using the Indirect method as De 3.2019 Dome Cam Income Suomen Fee the Year ended Dec 31, 2019 Sales Revenue Le Cost of Goods Sold Low: Seline. General and Administrative Expenses Les Depreciation expense Tarnings before interest and use 199,000 Less: Interest expense . Earnings before taxes 195.000 Les top 100%) Net Income 117.000 рентне страны Comparative Balance Sheet Dec 31, 2018 2019 Marketable writies Accountries 65,000 Investments Total current Property. Plant & Equipment 10.000 Lew: Accumulated Depreciation.000 Net Prop. Plant & Equipment 468.000 Total Assets 95.000 Accounts payable Notes payable Accrued expenses Salaries payable Total current liability Bends payable Total liabilities 105,000 100.000 Share capital Retained in Total Shareholders equity Total Liabilities and Shareholders Answer:

Answer 1

CASH FLOW STATEMENT
OPERATING ACTIVITIES
EBIT	239000
DEPRECIATIO EXP	50000
INCREASE IN ACCOUNT RECEIVABLE	-11000
DECREASE IN ACCOUNTS PAYABLE	-11000
DECREASE IN ACCRUED EXP	-4000
DECREASE IN NOTES PAYABLE	-10000
INCREASE IN SALARY PAYABLE	3000
DECREASE IN INVENTORY	11000
			267000
INVESTING ACTIVITIES
DECREASE IN INVESTMENT	13000
PURCHASE OF EQUIPMENT	-160000
PURCHASE OF MARKETABLE SECURITY	-1000		-148000
FINANCING ACTIVITIES
INCREASE IN SHARE CAPITAL	50000
ISSUE OF BONDS	85000
			135000
NET CHANGES IN CASH			254000
BEGINNING CASH BALANCE			12000
ENDING CASH BALANCE			266000