Avatar Auto Parts Company uses the indirect method to prepare its statement of cash flows. Refer...
Avatar Auto Parts Company uses the indirect method to prepare
its statement of cash flows.
Refer to the following portion of the comparative balance
sheet:
| Avatar Company |
| Comparative Balance Sheet |
| December 31, 2014 and 2013 |
| | 2014 | 2013 | Increase/decrease |
| Common Stock | $16,000 | $12,000 | $4,000 |
| Retained Earnings | 113,000 | 74,000 | 39,000 |
| Treasury Stock | (8,000) | (5,000) | (3,000) |
| Total equity | $121,000 | $81,000 | $40,000 |
Note:
1) There was no retirement of stock during the year.
2) There were no sales of treasury stock during the year.
Which of the following statements would be true?
|
There was a negative cash flow of $4,000 from the issuance of Common Stock. |
||
|
There was a positive cash flow of $4,000 from the issuance of Common Stock. |
||
|
There was positive cash flow of $16,000 from issuance of Common Stock. |
||
|
There was zero net cash flow from transactions involving Common Stock. |
Homework Answers
The correct answer is
There is positive cash flow of $ 4000 from the issuance of Common stock
Explanation
Common Stock has increased and since their was no retirement, that means increase of $ 4000, is cash inflow from issuance of common stock.
Add Answer to:
Avatar Auto Parts Company uses the indirect method to prepare
its statement of cash flows.
Refer...
Louisiana Company uses the indirect method to prepare its statement of cash flows. Refer to the...
Louisiana Company uses the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet: Louisiana Company Comparative Balance Sheet December 31, 2019 and 2018 2019 2018 Increase/(Decrease) Common Stock $32,000 $2,400 $29,600 Retained Earnings 123,000 76,000 47,000 Treasury Stock (15,000) (8,200) (6,800) Total Equity $140,000 $70,200 $69,800 Note: 1. There were no stock retirements during the year. 2. There were no sales of treasury stock during the year. Compute the cash...
12 Rodriguez Inc. uses the indirect method to prepare its statement of cash flows. Refer to...
12 Rodriguez Inc. uses the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet 53.000 Rodriguez Inc. Comparative Balance Sheet December 31, 2014 and 2013 2014 2013 Increase decrease Cash $21,000 $18,000 Accounts Receivable 31,000 35,000 (4.000) Inventory 53,000 25,000 28.000 Plant and Equipment 123,000 90,000 33.000 Accumulated Depreciation Plant and Equipment (43.000) (40,000) (3.000) Total assets $228,000 $168,000 $60,000 Additional information provided by the company includes the following: •...
5 Nelson Corp. uses the indirect method to prepare the statement of cash flows. Refer to...
5 Nelson Corp. uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Nelson Corp. Comparative Balance Sheet December 31, 2014 and 2013 2014 2013 Increase/decrease ($1,000) $1,500 Long-Term Notes Payable $56,000 $60,000($4,000) ($3,500) Accounts Payable Accrued Liabilities $8,000 $9,000 $3,000 $1,500 $67,000 $70 50 Total Liabilities The change in Accrued Liabilities will be shown as a negative cash flow in the adjustments to Net Income. True False
TIPOLI HO TOP 2014 T Avatar Company uses the indirect method to prepare the statement of...
TIPOLI HO TOP 2014 T Avatar Company uses the indirect method to prepare the statement of cash flows. Please refer to the following section of the comparative balance sheet: 2013 Increase/decrease Cash $ 33,000 $ 18,000 $15,000 Accounts receivable 22,000 35,000 (13,000) Inventory 170,000 115,000 55,000 Total assets $225,000 $168,000 $57,000 Classification an items: A) Operating activities minus positive cash flow B) Operating activities minus negative cash flow C) Financing activities minus positive cash flow D) Investing activities minus negative...
Elmore Company uses the direct method to prepare its statement of cash flows. Refer to the...
Elmore Company uses the direct method to prepare its statement of cash flows. Refer to the following financial statement information for the year ended December 31, 2017: Elmore Company Comparative Balance Sheet December 31, 2017 and 2016 2017 2016 Increase (Decrease) Cash $37,100 $20,400 $16,700 Accounts Receivable 26,400 30,100 (3,700) Merchandise Inventory 54,500 27,500 27,000 PP&E, net 126,000 92,000 34,000 Total Assets $244,000 $170,000 $74,000 Accounts Payable 8,200 12,200 $(4,000) Accrued Liabilities 6,400 2,400 4,000 Long-term Notes Payable 71,400 80,400...
Odessa Company uses the indirect method to prepare its statement of cash flows Please refer to...
Odessa Company uses the indirect method to prepare its statement of cash flows Please refer to the following information extracted from the comparative balance sheet for the company 2018 2017 Increasel(decrease) Accounts payable $35,000 $52,000 ($17,000) Accrued liabilities 18,000 10,000 $8,000 Long-term notes payable 168,000 180,000 ($12,000) Total liabilities $221,000 $242,000 ($21,000) Common stock Retained earnings Treasury stock Total equity 100.000 61,000 226,000 148,000 (18,500) (12,400) $307,500 $196,600 $39,000 $78,000 ($6,100) $110,900 $89,900 Total liabilities and equity $528,500 $438,600 Additional...
Odessa Company uses the indirect method to prepare its statement of cash flows. Please refer to...
Odessa Company uses the indirect method to prepare its statement of cash flows. Please refer to the following information extracted from the comparative balance sheet for the company. 2018 2017 Increase/(decrease) Accounts payable $35,000 $52,000 ($17,000) Accrued liabilities 18,000 10,000 $8,000 Long-term notes payable 168,000 180,000 ($12,000) Total liabilities $221,000 $242,000 ($21,000) Common stock 100,000 61,000 $39,000 Retained earnings 226,000 148,000 $78,000 Treasury stock (18,500) (12,400) ($6,100) Total equity $307,500 $196,600 $110,900 Total liabilities and equity $528,500 $438,600...
Specialty Auto Parts Company uses the indirect method to prepare its statement of cash flows. Refer...
Specialty Auto Parts Company uses the indirect method to prepare its statement of cash flows. Refer to the following information for 2020 Net cash inflows from operating activities. $102,000 Net cash outfiows from investing activities: $(118,500) Net cash inflows from financing activities: $17,000 If the cash balance at the beginning of the year was $13,400, what is the ending cash balance? O A. $13,400 B. $16,500 OC. $13,900 OD. $500
New Orleans Chemicals Company follows the indirect method to prepare its statement of cash flows. Refer...
New Orleans Chemicals Company follows the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet New Orleans Chemicals Company Comparative Balance Sheet December 31, 2018 and 2017 Increase/ 2018 (Decrease) 2017 $31,000 $28,600 $2,400 Common Stock 63,000 (2,800 Retained Earnings 158,000 95,000 (5,500) $91.900 Treasury Stock Total Equity (8,300) $180,700 $88,800 Net Income for 2018 was $93,000. O A. $93,000 O B. $30,000 O C. $63,000 O D. $2,800
Utah Corp. uses the indirect method to prepare the statement of cash flows. Refer to the...
Utah Corp. uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Utah Corp Comparative Balance Sheet December 31, 2018 and 2017 Cash Accounts Receivable Merchandise Inventory Total Assets 2018 $45,000 48,000 180.000 $273,000 2017 Increase/(Decrease) $27,000 $18,000 45,000 3,000 132.000 48.000 $204,000 $69,000 How will the change in Merchandise Inventory be shown on the statement of cash flows? O A. addition to net income under the operating activities...
12 Rodriguez Inc. uses the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet 53.000 Rodriguez Inc. Comparative Balance Sheet December 31, 2014 and 2013 2014 2013 Increase decrease Cash $21,000 $18,000 Accounts Receivable 31,000 35,000 (4.000) Inventory 53,000 25,000 28.000 Plant and Equipment 123,000 90,000 33.000 Accumulated Depreciation Plant and Equipment (43.000) (40,000) (3.000) Total assets $228,000 $168,000 $60,000 Additional information provided by the company includes the following: •...
5 Nelson Corp. uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Nelson Corp. Comparative Balance Sheet December 31, 2014 and 2013 2014 2013 Increase/decrease ($1,000) $1,500 Long-Term Notes Payable $56,000 $60,000($4,000) ($3,500) Accounts Payable Accrued Liabilities $8,000 $9,000 $3,000 $1,500 $67,000 $70 50 Total Liabilities The change in Accrued Liabilities will be shown as a negative cash flow in the adjustments to Net Income. True False
TIPOLI HO TOP 2014 T Avatar Company uses the indirect method to prepare the statement of cash flows. Please refer to the following section of the comparative balance sheet: 2013 Increase/decrease Cash $ 33,000 $ 18,000 $15,000 Accounts receivable 22,000 35,000 (13,000) Inventory 170,000 115,000 55,000 Total assets $225,000 $168,000 $57,000 Classification an items: A) Operating activities minus positive cash flow B) Operating activities minus negative cash flow C) Financing activities minus positive cash flow D) Investing activities minus negative...
Odessa Company uses the indirect method to prepare its statement of cash flows Please refer to the following information extracted from the comparative balance sheet for the company 2018 2017 Increasel(decrease) Accounts payable $35,000 $52,000 ($17,000) Accrued liabilities 18,000 10,000 $8,000 Long-term notes payable 168,000 180,000 ($12,000) Total liabilities $221,000 $242,000 ($21,000) Common stock Retained earnings Treasury stock Total equity 100.000 61,000 226,000 148,000 (18,500) (12,400) $307,500 $196,600 $39,000 $78,000 ($6,100) $110,900 $89,900 Total liabilities and equity $528,500 $438,600 Additional...
Specialty Auto Parts Company uses the indirect method to prepare its statement of cash flows. Refer to the following information for 2020 Net cash inflows from operating activities. $102,000 Net cash outfiows from investing activities: $(118,500) Net cash inflows from financing activities: $17,000 If the cash balance at the beginning of the year was $13,400, what is the ending cash balance? O A. $13,400 B. $16,500 OC. $13,900 OD. $500
New Orleans Chemicals Company follows the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet New Orleans Chemicals Company Comparative Balance Sheet December 31, 2018 and 2017 Increase/ 2018 (Decrease) 2017 $31,000 $28,600 $2,400 Common Stock 63,000 (2,800 Retained Earnings 158,000 95,000 (5,500) $91.900 Treasury Stock Total Equity (8,300) $180,700 $88,800 Net Income for 2018 was $93,000. O A. $93,000 O B. $30,000 O C. $63,000 O D. $2,800
Utah Corp. uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Utah Corp Comparative Balance Sheet December 31, 2018 and 2017 Cash Accounts Receivable Merchandise Inventory Total Assets 2018 $45,000 48,000 180.000 $273,000 2017 Increase/(Decrease) $27,000 $18,000 45,000 3,000 132.000 48.000 $204,000 $69,000 How will the change in Merchandise Inventory be shown on the statement of cash flows? O A. addition to net income under the operating activities...
Most questions answered within 3 hours.
-
What is the purpose of the 2' hydroxyl group in RNA? What is
the reason this...
asked 2 minutes ago -
You currently have 20,000X ethidium bromide. You want to make
250 mL of 1X ethidium bromide...
asked 15 minutes ago -
What mass of lead is needed to absorb 348 J of heat if the temp
of...
asked 17 minutes ago -
Explain the difference between an auction with reserve
and an auction without reserve. if not specified,...
asked 19 minutes ago -
Write the net ionic equation for the precipitation reaction that
occurs when aqueous solutions of aluminum...
asked 22 minutes ago -
How do we find the slope distance, given the horizontal distance
and the zenith angle?
For...
asked 21 minutes ago -
The table to the right lists probabilities for the corresponding
numbers of girls in three births....
asked 32 minutes ago -
The inverse demand function for good X is P = 5−0.05Q. The
firm’s cost curve is...
asked 31 minutes ago -
The Fresh Connection is really pushing the new line of juice
products. Given that it takes...
asked 37 minutes ago -
An acute decrease in mean arterial pressure (by getting up very
quickly, for instance) will cause...
asked 35 minutes ago -
Is the pH of solutions important when using the Fluoride ISE? If
so, why?
asked 39 minutes ago -
Producer surplus is:
a.
always equal to consumer surplus.
b.
the amount paid to sellers above...
asked 40 minutes ago