Posted by shell on Saturday, April 21, 2012 at 2:45pm.
1. Partially Correct
Check My Work
Problem 16-1 (Algorithmic)
Statement of Cash Flows—Indirect Method
The comparative balance sheet of Mavenir Technologies Inc. for December 31, 2013 and 2012, is shown as follows:
Dec. 31, 2013 Dec. 31, 2012
Cash $225,130 $209,670
Accounts receivable (net) 81,560 75,300
Inventories 230,230 222,960
Investments 0 86,380
Land 118,090 0
Equipment 254,020 197,120
Accumulated depreciation-equipment (59,470) (53,160)
Total $849,560 $738,270
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors) $153,770 $145,440
Accrued expenses payable (operating expenses) 15,290 19,200
Dividends payable 8,500 6,640
Common stock, $10 par 45,880 36,180
Paid-in capital in excess of par-common stock 172,460 100,400
Retained earnings 453,660 430,410
Total $849,560 $738,270
The following additional information was taken from the records:
The investments were sold for $101,060 cash.
Equipment and land were acquired for cash.
There were no disposals of equipment during the year.
The common stock was issued for cash.
There was a $57,950 credit to Retained Earnings for net income.
There was a $34,700 debit to Retained Earnings for cash dividends declared.
Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use a minus sign to indicate cash outflows, negative amounts or a decrease in cash.
Mavenir Technologies Inc.
Statement of Cash Flows
For the Year Ended December 31, 2013
Cash flows from operating activities:
Adjustments to reconcile net income to net cash flow from operating activities:
Changes in current operating assets and liabilities:
Net cash flow from operating activities
Cash flows from investing activities:
Net cash flow used for investing activities
Cash flows from financing activities:
Net cash flow provided by financing activities
Cash at beginning of the year
Cash at end of the year
Calculate the increases and decreases in the accounts. Start with net income and add back all noncash expenses. Add decreases in assets and increases in liabilities. Subtract decreases in liabilities and increases in assets. Losses and gains are a result of investing activities. They are added to or subtracted from net income.
Cash flows from investing activities are the result of transactions affecting investments in noncurrent assets, including fixed assets, intangibles, and investments.
Cash flows from financing activities are the result of transactions affecting the debt and equity, including bonds, notes payable, and preferred and common stock.
Check My Work
100% Correct100% Correct
Partially CorrectPartially Correct
Visited, Not Yet JudgedVisited, Not Yet Judged
Needs Instructor GradingNeeds Instructor Grading
Not Intended for GradingNot Intended for Grading
Question 1 of 1
Problem 16-01 Algorithmic
Answer This Question
More Related Questions
- accounting - Three different companies each purchased a machine on January 1, ...
- accounting - Comparative Statements of Retained Earnings for Renn-Dever ...
- accounting - here is what I need to do; however my problem is I can not find ...
- accounting - Company reports net income of $ 530,000 for the year ended December...
- accounting - What decisions do management make that is dependent on the balance ...
- accounting - Valmont, Inc. experienced the following events in 2012, in its ...
- accounting 2 - a.Equipment and land were acquired for cash b.There were no ...
- Accounting - The SOO Company has machinery that it acquired a number of years ...
- accounting 2 urgent please help - part 2 thank you Prepare a statement of cash ...
- accounting - describe a balance sheet, income statement, retained earnings ...