ACCT-2010 Lecture Notes - Lecture 7: Cash Flow Statement, Cash Flow, Net Income
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Mitchell Enterprises Adjusted Trial Balance December 31, 2015 | |||||
Cash | $ 26,200 | ||||
Accounts Receivable | 10,600 | ||||
Supplies | 400 | ||||
Prepaid Insurance Land | 2,000 25,000 | ||||
Building | 54,000 | ||||
Accumulated Depreciation - Building | $2,500 | ||||
Accounts Payable | 5,300 | ||||
Unearned Revenue | 6,000 | ||||
Notes Payable | 17,000 | ||||
Common Stock | 20,000 | ||||
Retained Earnings (as of Jan. 1, 2015) | 54,400 | ||||
Dividends | 1,000 | ||||
Service Revenue | 29,000 | ||||
Salaries Expense | 8,400 | ||||
Rent Expense | 3,600 | ||||
Insurance Expense | 3,000 | ||||
$134,200 | $134,200 | ||||
Mitchell Enterprises
Income Statement
DO IT! 12-2b
Prepare statement of cash flowsâindirect method.
(LO 2), AP
Alex Company reported the following information for 2017.
ALEX COMPANY Comparative Balance Sheets December 31 | |||
---|---|---|---|
Assets | 2017 | 2016 | Change Increase/Decrease |
Cash | $ 59,000â | $ 36,000â | $ 23,000 Increase |
Accounts receivable | 62,000â | 22,000â | â40,000 Increase |
Inventory | 44,000â | -0- | â44,000 Increase |
Prepaid expenses | 6,000â | 4,000â | 2,000 Increase |
Land | 55,000â | 70,000â | 15,000 Decrease |
Buildings | 200,000â | 200,000â | â-0- |
Accumulated depreciationâbuildings | (21,000) | (14,000) | 7,000 Increase |
Equipment | 183,000â | 68,000â | 115,000 Increase |
Accumulated depreciationâequipment | (28,000) | (10,000) | 18,000 Increase |
Totals | $560,000â | $376,000â | |
Liabilities and Stockholders' Equity | |||
Accounts payable | $ 43,000â | $ 40,000â | $ââ3,000 Increase |
Accrued expenses payable | -0- | 10,000â | 10,000 Decrease |
Bonds payable | 100,000â | 150,000â | 50,000 Decrease |
Common stock ($1 par) | 230,000â | 60,000â | 170,000 Increase |
Retained earnings | 187,000â | 116,000â | 71,000 Increase |
Totals | $560,000â | $376,000â |
ALEX COMPANY Income Statement For the Year Ended December 31, 2017 | ||
---|---|---|
Sales revenue | $941,000 | |
Cost of goods sold | $475,000 | |
Operating expenses | 231,000 | |
Interest expense | 12,000 | |
Loss on disposal of equipment | 2,000 | 720,000 |
Income before income taxes | 221,000 | |
Income tax expense | 65,000 | |
Net income | $156,000 |
Additionalinformation:
1.Operating expenses include depreciation expense of$40,000.
2.Land was sold at its book value for cash.
3.Cash dividends of $85,000 were declared and paid in 2017.
4.Equipment with a cost of $166,000 was purchased for cash.Equipment with a cost of $51,000 and a book value of $36,000 wassold for $34,000 cash.
5.Bonds of $50,000 were redeemed at their face value forcash.
6.Common stock ($1 par) of $170,000 was issued for cash.
Use this information to prepare a statement of cash flows usingthe indirect method. Answer the following questions:
a) Cash Flow from Operating Activities
b) Cash Flow from Investing Activities
c) Cash Flow from Financing Activities
I need the statement of cash flows for the Operating,Investingand Financing activities