Pete's Boats has beginning long-term debt of $180 and ending long-term debt of $210. The beginning and ending total debt balances are $340 and $360, respectively. The interest paid is $20. What is the amount of the cash flow to creditors? a. -$10 b. $0 c. $10 d. $40 e. $50
Classify each of the following as an operating activity (OA), an investing activity (IA), a financing activity (FA), or a non-cash flow transaction (NT). In addition to that, for each transaction, state whether it is a cash inflow (CI) or a cash outflow (CO). E.G. Payments to employees would be (OA) & (CO) 1. Proceeds fro
I had incorrect info on the first problem...this one is now correct. A Company's net income last year was $119,000. Changes in the company's balance sheet accounts for the year appear below: Increases (decreases) Debit Balances: Cash......
Statements of cash flows questions 1.) Which of the following would be considered a "use" of cash for purposes of constructing a statement of cash flows? a decrease in bonds payable. an increase in common stock. a decrease in accounts receivable. an increase in accounts payable. 2.) Which of the following w
A Company's net income last year was $119,000. Changes in the company's balance sheet accounts for the year appear below: Increases (decreases) Debit balances: Cash..................................$26,000 Accounts Payable
Mandi Corp's transactions for the year ended December 31, 2005 included the following: 1) acquired 50% of Gina's Corp common shares for $90,000 cash 2) issued 5,000 preferred shares in exchange for land having a fair value of $160,000 3) Issued 500 of its 11% debenture bonds, due 2011, for $196,000 4) Purchased a patent fo
Managerial accounting-statement of cash flows SHORES INC. Comparative Balance Sheet December 31, Year 2, and Year 1 Yr. 2 Yr. 1 Assets Cash $8 $18 Accounts receivable 355 233 Inventory 120 168 Prepaid expenses 12 5 Plant and equipment 612 475 Less accumulated depreciation (97) (88) Long-term i
I can not get the cashflow statement to match the increase in cash from the balance sheet (Preparation of a Statement of Cash Flows) Presented below is a condensed version of the comparative balance sheets for Zubin Mehta Corporation for the last two years at December 31. 2007 2006 Cash $177,000 $ 78,000 Accounts receiv
When evaluating whether to proceed with a project, the firm should consider all of the following factors EXCEPT which one? (i.e., Which is a "not relevant" versus " relevant" cash flow?) a. changes in working capital attributable to the project b. sunk costs already incurred c. the current market value of any equipment to
The financial statements of Ernest Banks Company appear below. ERNEST BANKS COMPANY Comparative Balance Sheets December 31 Assets 2006 2005 Cash $ 23,000 $ 13,000 Accounts receivable 24,000 33,000 Merchandise inventory 20,000 27,000 Prepaid expenses 20,000
A company sold some of its plant assets during 2007. The original cost of the plant assets was $750,000 and the accumulated depreciation at date of sale was $700,000. The proceeds from the sale of the plant assets were $105,000. The information concerning the sale of the plant assets should be shown on the company's statement o
Thompson's Jet Skis has operating cash flow of $218. Depreciation is $45 and interest paid is $35. A net total of $69 was paid on long-term debt. The firm spent $180 on fixed assets and increased net working capital by $38. What is the amount of the cash flow to stockholders? A. -$104 B. -$28 C. $28 D. $114 E. $142
Which method of presenting a statement of cash flows is the best? Why? Does it depend on the audience?
Hast is interested in acquiring Van. Van has 1 million shares outstanding and a target capital structure consisting of 30% debt. Van's debt interest is 8%. Assume that the risk-free rate of interest is 5% and the market risk premium is 6%. Both Hast and Van face a 40% tax rate. Could you show me step by step showing all calcu
Given the following information, prepare the cash flows from operations section of the statement of cash flows using the indirect method. The Nugget Corporation Income Statement For the Year Ending December 31, Year 2 Sales $500,000 Expenses: Cost of goods sold $150,000 Depreciation expense 15,000 Salary expense
See attached file for full problem. Statement of cash flows ratios. Financial statements for Olson Company are presented below: Instructions Calculate the following for Olson Company (provide calculation as well): a. Current cash debt coverage ratio__________________________ b. Cash debt coverage ratio________
Please help complete using transaction data to prepare a statement of cash flows. Store Company engaged in the following transactions during the 2007 accounting period. The beginning cash balance was $28,600. Net Cash flow from Operating Activities ($110,775) Investing Activities ($31,800)
1. ASSUME MARLIN HAD NO INVESTING OR FINANCING TRANSACTIONS DURING 2007. DECEMBER 31 2006 2007 CASH $65,000 $107,000 ACCOUNTS RECEIVABLE 75,000 78,000 PREPAID RENT 900 800 ACCOUNTS PAYABLE 33,000 34,000 UTILITIES PAYABLE 1,200 1,500 SALES REVENUE $272,000 OPERATING EXPENSES
** Please see attached file for complete details!! ** Thanks!! Ron Nord and Lisa Smith are examining the following statement of cash flows for Carpino Company for the year ended January 31, 2007. CARPINO COMPANY Statement of Cash Flows For the Year Ended January 31, 2007 Sources of cash From sales of merchandise $
P23-8 Comparative balance sheet accounts of Jensen Company are presented below. JENSEN COMPANY COMPARATIVE BALANCE SHEET ACCOUNTS DECEMBER 31, Debit Balances 2007 2006 Cash $80,000 $51,000 Accounts receivable 145,000 130,000 Merchandise inventory 75,000 61,000 Investments (Available-for-sale) 55,000 85,000 Equipment
Would it appear on the statement of cash flows under the operating activities, investing activities, or Financing activities section?
** See ATTACHED file(s) for complete details ** Can you help me understand this question? Exercises 5-6 All of the following statements apply to the statement of cash flows covering a given period. If a statement applies only to the direct format, write D in the space allowed. If a statement applies only to the indire
A company generated free cash flow of $51 million last year and expects it to grow at a constant rate of 4% indefinitely. The company's weighted average cost of capital is 12%. The company has 25 million shares of outstanding stock, and the current price per share is $28.50. Could you please do a step-by step (equation) proce
Presented below are selected financial statement items for Linus Corporation for December 31, 2007. Inventory $ 25,732 Cash paid to suppliers 107,497 Building 201,154 Common stock 48,419 Cash dividends paid 8,155 Cash paid to purchase equipment 13,820 Equipment 37,387 Revenues 10
Were any stock options exercised? Which financial statement did you find this information? What are the components of this financial statement? 500 words answer. Cash Flows from Operating Activities Net income $ 45,901 $ 41,522 $ 26,920 Adjustments to reconcile to cash flows from operations 75,629 70,116 62,051 Net cash
What makes the cash flow statement more useful in these respects than the income statement?
Who's Benefit? Introduction: The Shine Company installs a special machine for polishing cars at one of its outlets, on the first day of the fiscal year. The machine costs the company $20,000, and its annual cash operating costs total $15,000. The machine will have a four-year useful life and a zero terminal disposal value.
OTA, Request to elaborate (in your own words, thoughts, perspectives) regarding the following in 200 words or more to provide in-depth understanding . A) I realize free cash flow (fcf) is basically cash flow actually attainable for distribution to a shareholder after the firm has made all the investments in their fixed as
ERNEST BANKS COMPANY Comparative Balance Sheets December 31 Assets 2006 2005 Cash $ 23,000 $ 13,000 Accounts receivable 24,000 33,000 Merchandise inventory 20,000 27,000 Prepaid expenses 20,000 13,000 Land 40,000 40,000 Property, plant, and equipment 200,000 225,000 Less: Accumulated depreciation (50,000) (67
Help answering these attached questions. Chapter 3: Mini-Exercise M3-2 Mostert Music Company had the following transactions in March: 1. Sold instruments to customers for $10,000; received $6,000 in cash and the rest on account. The cost of the instruments was $7,000 2. Purchased $4,000 of new instruments inventory; paid
Problem 13-14A Prepare a statement of cash flows (indirect Method) (Lo2. Lo3) Comparative financial statements for Shores Inc. Follows: Shores Inc Comparative Balance Sheet December 31, year 2 and year one. Year2 Year 1 Assets