Cash Flow and the Indirect Method
Not what you're looking for?
Comparative Balance Sheet
December, 31
2009 2008
Cash $ 1,090 $ 4,000
Accounts Receivable 2,910 6,150
Inventory 4,800 3,880
Prepaid Advertising 700 1,775
Building and Furnishings 40,000 40,000
Accumulated Depreciation (10,000) (10,000)
Land 27,000 15,000
Total Assets 66,500 62,805
Rent Payable 2,000 4,000
Taxes Payable 1,900 1,500
Wages Payable 3,300 2,200
Loan Payable, Long-Term 19,600 26,805
Common Stock 31,000 25,000
Retained Earnings 8,700 3,300
Total Liability And Equity 66,500 62,805
Income Statement for 209
Sales Revenue 350,000
Cost of Goods Sold 250,600
Gross Profit 99,400
Operating Expenses
Advertising 9,500
Depreciation 2,000
Insurance 4,100
Rent 28,900
Wages 40,450
Operating Income 14,450
Interest Expense 1,600
Income before tax 12,850
Taxes 3,850
Net Income 9,000
Prepare a statement of cash flows using the indirect method format, please align all headings.
Purchase this Solution
Solution Summary
The cash flow and the indirect methods are examined in the solution.
Purchase this Solution
Free BrainMass Quizzes
IPOs
This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)
Marketing Management Philosophies Quiz
A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.
Business Processes
This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.
Basics of corporate finance
These questions will test you on your knowledge of finance.
Team Development Strategies
This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.