Compute the amount carla should report as net cash provided


Q1. Buffalo Corporation had the following activities in 2017.

Payment of accounts payable $833,0004.Collection of note receivable $96,0002.Issuance of common stock $234,0005.Issuance of bonds payable $548,0003.Payment of dividends $330,0006.Purchase of treasury stock $44,000

Compute the amount Buffalo should report as net cash provided (used) by financing activities in its 2017 statement of cash flow

Q2. Arla Corporation had the following activities in 2017.

Sale of land $174,0004.Purchase of equipment $433,0002.Purchase of inventory $787,0005.Issuance of common stock $311,0003.Purchase of treasury stock $65,0006.Purchase of available-for-sale debt securities $63,000

Compute the amount Carla should report as net cash provided (used) by investing activities in its 2017 statement of cash flows.

Q3. Martinez Corporation had the following 2017 income statement.

Sales revenue$188,000

Cost of goods sold111,000

Gross profit77,000

Operating expenses (includes depreciation of $19,000)52,000

Net income$25,000

The following accounts increased during 2017: Accounts Receivable $12,000, Inventory $12,000, Accounts Payable $13,000. Prepare the cash flows from operating activities section of Martinez's 2017 statement of cash flows using the direct method.

Q4. Windsor Corporation had the following 2017 income statement.

Sales revenue$195,000

Cost of goods sold115,000

Gross profit80,000

Operating expenses (includes depreciation of $20,000)53,000

Net income$27,000

The following accounts increased during 2017: Accounts Receivable $13,000, Inventory $12,000, Accounts Payable $14,000. Prepare the cash flows from operating activities section of Windsor's 2017 statement of cash flows using the indirect method.

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Compute the amount carla should report as net cash provided
Reference No:- TGS02373413

Now Priced at $25 (50% Discount)

Recommended (91%)

Rated (4.3/5)