Required InformationExercise 12-12 (Static) Indirect: Preparing statement of cash flows LO P2, P3, A1[The following information applies to the questions displayed below.]The following financial statements and additional information are reported.IKIBAN INCORPORATEDComparative Balance Sheets20212020$ 87,50065,000$ 44,00051,00086,500At June 30AssetsCashAccounts receivable, netInventoryPrepaid expensesTotal current assetsEquipmentAccumulated depreciation-EquipmentTotal assetsLiabilities and EquityAccounts payableWages payableIncome taxes payableTotal current liabilitiesNotes payable (long term)Total liabilitiesEquityCommon stock, $5 par valueRetained earningsTotal liabilities and equitySalesCost of goods soldIKIBAN INCORPORATEDIncome Statement63,8004,4005,400220,700186,900124,000(27,000)$ 317,700$ 25,000115,000(9,000)$292,900$ 30,00015,0003,8006,0003,40034,40048,80030,00060,00064,400108,800220,000160,00033,300$317,70024,100For Year Ended June 30, 2021$292,900$ 678,000411,000267,00067,00058,600141,4002,000143,400Gross profitOperating expenses (excluding depreciation)Depreciation expenseOther gains (losses)Gain on sale of equipmentIncome before taxesIncome taxes expenseNet incomeAdditional Information43,898$ 99,510a. A $30,000 notes payable is retired at its $30,000 carrying (book) value in exchange for cash.b. The only changes affecting retained earnings are net income and cash dividends paid.c. New equipment is acquired for $57,600 cash.d. Received cash for the sale of equipment that had cost $48,600, yielding a $2,000 gain.e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement.f. All purchases and sales of inventory are on credit.Exercise 12-12 (Static) Part 1Required:(1) Prepare a statement of cash flows using the indirect method for the year ended June 30, 2021.Note: Amounts to be deducted should be indicated with a minus sign.

Cash flow statement is the financial statement which reports the cash inflows and outflows of an…

Answered: Required: (1) Prepare a statement of…

Required: (1) Prepare a statement of cash flows using the indirect method for the year ended June 30, 2021. Note: Amounts to be deducted should be Indicated with a minus sign.

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter9: Current Liabilities, Contingencies, And The Time Value Of Money

Section: Chapter Questions

Problem 9.2AP

See similar textbooks

Similar questions

Preparing Net Cash Flows from Operating Activities-Direct Method Colassard Industries has the following data available for preparation of its statement of cash flows: Required: Prepare the cash flows from operating activities section of the statement of cash flows using the direct method.
Preparing a Statement of Cash Flows Monon Cable Television Company reported the following financial statements for 20l9: Required: 1. Prepare a statement of cash flows using the indirect method to compute net cash flow from operating activities. 2. CONCEPTUAL CONNECTION Explain what has been responsible for the decrease in cash.
Preparing a Statement of Cash Flows Volusia Company reported the following comparative balance sheets for 2019: Required: Prepare a statement of cash flows for Volusia using the indirect method to compute net cash flow from operating activities.
(Appendix 21.1) Operating Cash Flows Refer to the information for Lamberson Company in P21-6. Required: 1. Using the direct method, prepare the operating activities section of the 2019 statement of cash flows for Lamberson. 2. (Optional). If you completed P21-6 earlier, prepare the remaining portion of the statement of cash flows. (A separate schedule reconciling net income to cash provided by operating activities is not necessary.)
Exercise 12-12 (Algo) Indirect: Preparing statement of cash flows LO P2, P3, A1 Skip to question [The following information applies to the questions displayed below.] The following financial statements and additional information are reported. IKIBAN INCORPORATED Comparative Balance Sheets At June 30 2021 2020 Assets Cash $ 97,900 $ 60,000 Accounts receivable, net 89,000 67,000 Inventory 79,800 110,500 Prepaid expenses 6,000 8,600 Total current assets 272,700 246,100 Equipment 140,000 131,000 Accumulated depreciation—Equipment (35,000) (17,000) Total assets $ 377,700 $ 360,100 Liabilities and Equity Accounts payable $ 41,000 $ 54,000 Wages payable 7,600 18,200 Income taxes payable 5,000 7,000 Total current liabilities 53,600 79,200 Notes payable (long term) 46,000 76,000 Total liabilities 99,600 155,200 Equity Common stock, $5 par value 252,000 176,000 Retained earnings 26,100 28,900 Total liabilities and equity $ 377,700 $…
Exercise 12-12 (Algo) Indirect: Preparing statement of cash flows LO P2, P3, A1 [The following information applies to the questions displayed below.] The following financial statements and additional information are reported. IKIBAN INCORPORATED Comparative Balance Sheets 2021 At June 30 2020 Assets $ 94,900 96,500 84,800 6,500 282,700 145,000 2$ 65,000 72,000 118,000 9,600 264,600 136,000 Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation- Equipment (37,500) (19,500) $ 381,100 $ Total assets 390,200 Liabilities and Equity $ 61,500 19,200 8,000 88,700 81,000 169,700 Accounts payable Wages payable Income taxes payable Total current liabilities Notes payable (long term) Total liabilities Equity Common stock, $5 par value Retained earnings 46,000 8,100 5,500 59,600 51,000 110,600 262,000 181,000 17,600 $ 390,200 30,400 $ 381,100 Total liabilities and equity IKIBAN INCORPORATED Income Statement For Year Ended June 30, 2021 $…
Problem 21-4 (Algo) Statement of cash flows; direct method [LO21-3, 21-8] The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given below for Dux Company. Additional information from Dux's accounting records is provided also. DUX COMPANYComparative Balance SheetsDecember 31, 2021 and 2020($ in thousands) 2021 2020 Assets Cash $ 72 $ 27 Accounts receivable 41 56 Less: Allowance for uncollectible accounts (3 ) (2 ) Dividends receivable 6 5 Inventory 95 90 Long-term investment 27 24 Land 95 75 Buildings and equipment 194 220 Less: Accumulated depreciation (34 ) (60 ) $ 493 $ 435 Liabilities Accounts payable $ 76 $ 83 Salaries payable 7 10 Interest payable 10 5 Income tax payable 5 7 Notes payable 20 0 Bonds…
Problem 21-16 (Algo) Statement of cash flows; indirect method [LO21-4, 21-8] The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given below for Dux Company. Additional information from Dux’s accounting records is provided also. DUX COMPANYComparative Balance SheetsDecember 31, 2021 and 2020($ in thousands) 2021 2020 Assets Cash $ 117.0 $ 34.0 Accounts receivable 62.0 64.0 Less: Allowance for uncollectible accounts (3.0 ) (2.0 ) Dividends receivable 17.0 16.0 Inventory 69.0 64.0 Long-term investment 29.0 24.0 Land 84.0 40.0 Buildings and equipment 169.0 264.0 Less: Accumulated depreciation (7.0 ) (120.0 ) $ 537.0 $ 384.0 Liabilities Accounts payable $ 27.0 $ 34.0 Salaries payable 16.0 19.0 Interest payable 18.0 16.0 Income tax payable…
Problem 17-4 (IAA) Pro Forest Company provided the following information for the preparation of a statement of cash flows for the current year Fear state 2020 2019 Cas! Accc Inve Inve Lan Pro Acc Goc 300,000 Cash and cash equivalents Trading securities Accounts receivable, net of allowance Inventory Property, plant and equipment (net) Goodwill Discount on bonds payable 603,000 300,000 200,000 600,000 900,000 2,000,000 200,000 72,000 520,000 840,000 2,100,000 200,000 100,000 4,675,000 4,260,000 Acc No Во Sh. Sh Re Tr 490,000 310,000 800,000 800,000 210,000 1,000,000 Accounts payable Accrued expenses Bonds payable Preference share capital, P100 par, each share convertible into two ordinary shares Ordinary share capital, P20 par Share premium Retained earnings 500,000 700,000 400,000 650,000 400,000 820,000 500,000 1,355,000 A 4,675,000 4,260,000 1. Additional information 2. 1. Net income for the current year was P1,705,000. 2. Cash dividend paid during the year totaled P1,000,000. 3. The…
O A https://prod.reader-ui.prod.mheducation.com/epub/sn_710f1/data-uuid-be8dbaUcb8ea w -> Aa く > 三 P20-2 Cash flow statement under indirect method (L LO 20-1, L LO 20-2, LO 20-3, E LO 20-4) The Barden Corporation's comparative balance sheets for 20X1 and 20X0 are presented below. Barden Corporation Table Summary: Row 1 is a header and spans columns 2 and 3. Rows 3, 12, and 17 are subheaders and contain data only in column 1. Balance Sheets December 31, Increase (Decrease) Assets Cash $ 337,000 $246,000 Accounts receivable, net 420,000 280,000 140,000 Marketable securities 0000 -0- Inventories Land 650,000 250,000 Plant and equipment 1,160,000 1,266,000 (106,000) Less: Accumulated depreciation (200,000) Total assets $2,922,000 $2,432,000 $ 490,000 Liabilities and Stockholders' Equity Liabilities: Accounts payable 000 099 $ $ 500,000 $160,000 Accrued wages 520,000 Long-term bonds (due 7/1/20X8) 260,000 360,000 Total liabilities 1,460,000 1,380,000 80,000 Stockholders' equity: Common…
Required information Problem 13-7 (Algo) Prepare a Statement of Cash Flows [LO13-1, LO13-2] Skip to question [The following information applies to the questions displayed below.] Comparative financial statements for Weaver Company follow: Weaver CompanyComparative Balance Sheetat December 31 This Year Last Year Assets Cash $ 15 $ 11 Accounts receivable 291 228 Inventory 152 195 Prepaid expenses 8 5 Total current assets 466 439 Property, plant, and equipment 514 435 Less accumulated depreciation (83) (71) Net property, plant, and equipment 431 364 Long-term investments 25 32 Total assets $ 922 $ 835 Liabilities and Stockholders' Equity Accounts payable $ 302 $ 225 Accrued liabilities 70 79 Income taxes payable 75 63 Total current liabilities 447 367 Bonds payable 199 171 Total liabilities 646 538 Common stock 162 202 Retained earnings 114 95 Total stockholders’ equity 276 297 Total liabilities and stockholders' equity $…
Problem 13-7 (Algo) Prepare a Statement of Cash Flows [LO13-1, LO13-2] Skip to question [The following information applies to the questions displayed below.] Comparative financial statements for Weaver Company follow: Weaver CompanyComparative Balance Sheetat December 31 This Year Last Year Assets Cash $ 15 $ 11 Accounts receivable 291 228 Inventory 152 195 Prepaid expenses 8 5 Total current assets 466 439 Property, plant, and equipment 514 435 Less accumulated depreciation (83) (71) Net property, plant, and equipment 431 364 Long-term investments 25 32 Total assets $ 922 $ 835 Liabilities and Stockholders' Equity Accounts payable $ 302 $ 225 Accrued liabilities 70 79 Income taxes payable 75 63 Total current liabilities 447 367 Bonds payable 199 171 Total liabilities 646 538 Common stock 162 202 Retained earnings 114 95 Total stockholders’ equity 276 297 Total liabilities and stockholders' equity $ 922 $ 835…