Lucas Company has provided the following information: Cash flow from operating activities, $362,500 Net income, $311,000...
Lucas Company has provided the following information:
Cash flow from operating activities, $362,500
Net income, $311,000
Interest expense, $33,750
Interest cash payments, $22,500
Income tax payments, $265,000
Income tax expense, $248,500
Using the modified method discussed in the text, what was Lucas' cash coverage ratio?
Homework Answers
Cash Flow from Operating Activities = $362,500
Interest Cash Payments = $22,500
Income Tax Payments = $265,000
Cash Coverage Ratio = [Cash Flow from Operating Activities +
Interest Cash Payments + Income Tax Payments] / Interest Cash
Payments
Cash Coverage Ratio = [$362,500 + $22,500 + $265,000] /
$22,500
Cash Coverage Ratio = $650,000 / $22,500
Cash Coverage Ratio = 28.89
Add Answer to:
Lucas Company has provided the following information:
Cash flow from operating activities, $362,500
Net income, $311,000...
Reporting Net Cash Flow from Operating Activities The following information is available for Cornelius Inc.: Amount...
Reporting Net Cash Flow from Operating Activities The following information is available for Cornelius Inc.: Amount Selected Income Statement Information Net income $37,590 Depreciation expense 8,900 Selected Balance Sheet Information Beginning Balance Ending Balance Accounts receivable $21,200 $27,950 Inventory 45,800 40,125 Accounts payable 23,700 32,600 uido Prepare the net cash flows from operating activities using the indirect method. Cornelius Inc. Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Net income 37590 Adjustments to reconcile...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow...
Determining Net Income from Net Cash Flow from Operating
Activities
Curwen Inc. reported net cash flow from operating activities of
$196,600 on its statement of cash flows for the year ended December
31. The following information was reported in the Cash Flows from
Operating Activities section of the statement of cash flows, using
the indirect method:
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $196,600 on its statement...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $201,300 on its statement of cash flows for the year ended December 31. The following information was reported in the "Cash flows from operating activities" section of the statement of cash flows, using the indirect method: Decrease in income taxes payable Decrease in inventories $4,500 11,200 17,300 7,800 Depreciation Gain on sale of investments Increase in accounts payable 3,100 Increase...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $161,000 on its statement of cash flows for the year ended December 31. The following information was reported in the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method: Decrease in income taxes payable $3,100 Decrease in inventories 7,900 Depreciation 12,100 Gain on sale of investments 5,400 Increase in accounts payable 2,200 Increase...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $227,600 on its statement of cash flows for the year ended December 31. The following information was reported in the "Cash flows from operating activities" section of the statement of cash flows, using the indirect method: Decrease in income taxes payable $4,100 Decrease in inventories 10,300 Depreciation 15,900 Gain on sale of investments 7,200 Increase in accounts payable 2,900 Increase...
The income statement and a schedule reconciling cash flows from operating activities to net incom...
The income statement and a schedule reconciling cash flows from operating activities to net income are provided below ($ in millions) for Mike Roe Computers MIKE ROE COMPUTERS Income Statement For the Year Ended December 31, 2018 Sales Cost of goods sold $148.60 89.30 59.30 Gross margin Salaries expense Insurance expense Depreciation expense Interest expense Gains and losses: $18.60 11.60 4.30 5.30 (39.80) Gain on sale of equipment Loss on sale of land 10.60 (1.60 28.50 Income before tax Income...
4. The income statement and a schedule reconciling cash flows from operating activities to net income...
4. The income statement and a schedule reconciling cash flows from operating activities to net income are provided below ($ in millions) for Mike Roe Computers. MIKE ROE COMPUTERS Income Statement For the Year Ended December 31, 2018 Sales $ 148.80 Cost of goods sold (89.40 ) Gross margin 59.40 Salaries expense $ 18.80 Insurance expense 11.80 Depreciation expense 4.40 Interest expense 5.40 (40.40 ) Gains and losses: Gain on sale of equipment 10.80 Loss on sale of land (1.80...
Net income and cash flow provided by operating activities may differ due to depreciation charge. net...
Net income and cash flow provided by operating activities may differ due to depreciation charge. net working capital changes. depreciation and net working capital. tax rates.
Complete the cash flow from Operating Activities Additions to Net Income Decrease in accounts receivable Decrease...
Complete the cash flow from Operating Activities
Additions to Net Income Decrease in accounts receivable Decrease in inventory Decrease in prepaid assets Increase in accounts payable Increase in accrued liabilities Deductions from Net Income Increase in accounts receivable Increase in inventory Increase in prepaid assets Decrease in accounts payable Decrease in accrued liabilities 450 $300 Cash Flow From Operating Activities Net Income $110 Net Cash Provided by Operating Activities 2011 80 115 Cash Flows From Investing Activities Income Statement For...
Determining Net Cash Flow from Operating Activities An analysis of the balance sheet and income statement...
Determining Net Cash Flow from Operating Activities An analysis of the balance sheet and income statement of Sanchez Company revealed the following: net income, $12,750; depreciation expense, $32,600; decrease in accounts receivable, $21,500; increase in inventory, $18,300; increase in accounts payable, $19,800; and decrease in interest payable of $1,200. Required: Compute the net cash flows from operating activities using the indirect method
Reporting Net Cash Flow from Operating Activities The following information is available for Cornelius Inc.: Amount Selected Income Statement Information Net income $37,590 Depreciation expense 8,900 Selected Balance Sheet Information Beginning Balance Ending Balance Accounts receivable $21,200 $27,950 Inventory 45,800 40,125 Accounts payable 23,700 32,600 uido Prepare the net cash flows from operating activities using the indirect method. Cornelius Inc. Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Net income 37590 Adjustments to reconcile...
Determining Net Income from Net Cash Flow from Operating
Activities
Curwen Inc. reported net cash flow from operating activities of
$196,600 on its statement of cash flows for the year ended December
31. The following information was reported in the Cash Flows from
Operating Activities section of the statement of cash flows, using
the indirect method:
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $196,600 on its statement...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $201,300 on its statement of cash flows for the year ended December 31. The following information was reported in the "Cash flows from operating activities" section of the statement of cash flows, using the indirect method: Decrease in income taxes payable Decrease in inventories $4,500 11,200 17,300 7,800 Depreciation Gain on sale of investments Increase in accounts payable 3,100 Increase...
Determining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $227,600 on its statement of cash flows for the year ended December 31. The following information was reported in the "Cash flows from operating activities" section of the statement of cash flows, using the indirect method: Decrease in income taxes payable $4,100 Decrease in inventories 10,300 Depreciation 15,900 Gain on sale of investments 7,200 Increase in accounts payable 2,900 Increase...
The income statement and a schedule reconciling cash flows from operating activities to net income are provided below ($ in millions) for Mike Roe Computers MIKE ROE COMPUTERS Income Statement For the Year Ended December 31, 2018 Sales Cost of goods sold $148.60 89.30 59.30 Gross margin Salaries expense Insurance expense Depreciation expense Interest expense Gains and losses: $18.60 11.60 4.30 5.30 (39.80) Gain on sale of equipment Loss on sale of land 10.60 (1.60 28.50 Income before tax Income...
Net income and cash flow provided by operating activities may differ due to depreciation charge. net working capital changes. depreciation and net working capital. tax rates.
Complete the cash flow from Operating Activities
Additions to Net Income Decrease in accounts receivable Decrease in inventory Decrease in prepaid assets Increase in accounts payable Increase in accrued liabilities Deductions from Net Income Increase in accounts receivable Increase in inventory Increase in prepaid assets Decrease in accounts payable Decrease in accrued liabilities 450 $300 Cash Flow From Operating Activities Net Income $110 Net Cash Provided by Operating Activities 2011 80 115 Cash Flows From Investing Activities Income Statement For...
Most questions answered within 3 hours.
-
You have a 825.3 mL sample of 2.754 M HA (Ka =
4.49⋅10−4). Calculate the pH...
asked 52 minutes ago -
The blues made its way into many kinds of music. Eric Clapton,
The Beatles, and Elvis...
asked 2 hours ago -
8. A wave in a string has a wave function given by: y (x, t) =...
asked 1 hour ago -
If you’re standing at the bottom of a hill and asked to evaluate
it while being...
asked 3 hours ago -
1. Which region has taken the lead in the world of
e-waste handling?
a) European Union...
asked 3 hours ago -
A 8.15- g bullet from a 9-mm pistol has a velocity of 366.0 m/s.
It strikes...
asked 5 hours ago -
The outstanding bonds of Alpha Extracts have a yield to maturity
of 7.4 percent and a...
asked 5 hours ago -
The Problem: The Case of the Harmonizing Vacations
Your CEO is exploring partnering with a European...
asked 6 hours ago -
A chemical equation is balanced by adding coefficients in front
of some formulas so that the...
asked 6 hours ago -
From the literature (reference your sources): What are the
lattice parameters of calcite and aragonite? Why...
asked 7 hours ago -
Your system is rejecting the question am asking which is
preceded by a case study. It...
asked 7 hours ago -
3. On January 2, 2000, Larry creates a trust with himself as
trustee. Larry as trustee...
asked 7 hours ago