Answer the following questions concerning cash flows for the period.
a All accounts receivable and accounts payable are related to trade merchandise. Accounts payable are recorded net and always are paid to take all the discounts allowed. The allowance for doubtful accounts at the end of 2008 was the same as at the end of 2007; no receivables were charged against the allowance during 2008.
1. Calculate cash collected during 2008 from accounts receivable
2. Calculate cash payments during 2008 on accounts payable to suppliers
3. Calculate cash provided from operations for 2008
4. Calculate cash inflows during 2008 from financing activities
5. Calculate cash outflows from investing activities during 2008
** Detailed excel file is attached - has more details! **
1 Calculate cash collected during 2008 from accounts receivable
Net credit sales, 2008 6,400,000
Add: Accounts receivable, 2007 580,000
Less: Accounts receivable, 2008 (840,000)
Cash collected from accounts receivable 6,140,000
2 Calculate cash payments during 2008 on accounts payable to suppliers
Add: Accounts ...
The cash flows for XYZ company are calculated.