7 Inglis City had a beginning cash and cash equivalents balance in its internal service fund of $895,685. During the current year, the following transactions occurred: 1. Interest received on investments totaled $42,450. 2. The city acquired additional equity investments totaling $75,050. 3. A grant was received from the state in the amount of $50,000 for summer interns. 4. Receipts from sales of goods or services totaled $2,915,570. 5. Payments for supplies were made in the amount of $1,642,150. 6. Payments to employees for salaries amounted to $479,360. 7. Equipment was sold for $57,500. It had a book value of $56,655. 8. A $25,000 transfer was made to the General Fund. 9. Other cash expenses for operations were $89,200. 10. Long-term debt payments for capital acquisitions totaled $525,040. Required Prepare a statement of cash flows for the Inglis City internal service fund. (Ignore the reconciliation of operating income to net cash provided by operating activities because insufficient information is provided to complete the reconciliation.) (Cash outflows should be indicated by a minus sign.)

7 Inglis City had a beginning cash and cash equivalents balance in its internal service fund of $895,685. During the current year, the following transactions occurred: 1. Interest received on investments totaled $42,450. 2. The city acquired additional equity investments totaling $75,050. 3. A grant was received from the state in the amount of $50,000 for summer interns. 4. Receipts from sales of goods or services totaled $2,915,570. 5. Payments for supplies were made in the amount of $1,642,150. 6. Payments to employees for salaries amounted to $479,360. 7. Equipment was sold for $57,500. It had a book value of $56,655. 8. A $25,000 transfer was made to the General Fund. 9. Other cash expenses for operations were $89,200. 10. Long-term debt payments for capital acquisitions totaled $525,040. Required Prepare a statement of cash flows for the Inglis City internal service fund. (Ignore the reconciliation of operating income to net cash provided by operating activities because insufficient information is provided to complete the reconciliation.) (Cash outflows should be indicated by a minus sign.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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