AFM101 Lecture Notes - Lecture 2: Cash Flow Statement, Retained Earnings, Share Capital
Get access
Related Documents
Related Questions
4)
Financial statements of Rukavina Corporation follow: |
Rukavina Corporation Comparative Balance Sheet | ||
Ending Balance | Beginning Balance | |
Assets: | ||
Cash and cash equivalents | $34 | $31 |
Accounts receivable | 86 | 82 |
Inventory | 45 | 41 |
Property, plant and equipment | 678 | 580 |
Less: accumulated depreciation | 350 | 300 |
Total assets | $493 | $434 |
Liabilities and stockholders' equity: | ||
Accounts payable | $67 | $72 |
Bonds payable | 145 | 210 |
Common stock | 92 | 82 |
Retained earnings | 189 | 70 |
Total liabilities and stockholders' equity | $493 | $434 |
Income Statement | |
Sales | $755 |
Cost of goods sold | 383 |
Gross margin | 372 |
Selling and administrative expenses | 127 |
Net operating income | 245 |
Income taxes | 87 |
Net income | $158 |
Cash dividends were $39. The company did not dispose of any property, plant, and equipment. It did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. |
The net cash provided by (used in) investing activities for the year was: |
$(39)
$(65)
$(98)
$10
5) Alcoser Corporation's most recent balance sheet appears below:
Comparative Balance Sheet | ||
Ending Balance | Beginning Balance | |
Assets: | ||
Cash and cash equivalents | $34 | $29 |
Accounts receivable | 32 | 36 |
Inventory | 53 | 66 |
Property, plant and equipment | 554 | 480 |
Less accumulated depreciation | 208 | 206 |
Total assets | $465 | $405 |
Liabilities and stockholdersâ equity: | ||
Accounts payable | $41 | $50 |
Accrued liabilities | 17 | 16 |
Income taxes payable | 28 | 30 |
Bonds payable | 217 | 200 |
Common stock | 75 | 70 |
Retained earnings | 87 | 39 |
Total liabilities and equity | $465 | $405 |
Net income for the year was $60. Cash dividends were $12. The company did not dispose of any property, plant, and equipment. It did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.
The net cash provided by (used in) investing activities for the year was:
Use the data from the following financial statements in thepopupâ window, LOADING... . The company paid interest expense of$18,500 for 2014 and had an overall tax rate of 40% for 2014. Findthe cash flow from assets forâ 2014, and break it into its threeâparts: operating cashâ flow, capitalâ spending, and change in networking capital.
ata Table
Partial Income Statement Year Ending 2014 | |
Sales revenue | $350,200 |
Cost of goods sold | $141,800 |
Fixed costs | $43,100 |
Selling, general, and administrative expenses | $28,000 |
Depreciation | $45,800 |
Partial Balance Sheet 12/31/2013 | |||
ASSETS | LIABILITIES | ||
Cash | $15,800 | Notes payable | $13,900 |
Accounts receivable | $27,900 | Accounts payable | $19,100 |
Inventories | $47,900 | Long-term debt | $190,000 |
Fixed assets | $368,000 | OWNERS' EQUITY | |
Accumulated depreciation | $143,600 | Retained earnings | |
Intangible assets | $82,000 | Common stock | $132,000 |
Partial Balance Sheet 12/31/2014 | |||
ASSETS | LIABILITIES | ||
Cash | $26,100 | Notes payable | $12,100 |
Accounts receivable | $19,200 | Accounts payable | $24,200 |
Inventories | $52,800 | Long-term debt | $162,100 |
Fixed assets | $448,100 | OWNERS' EQUITY | |
Accumulated depreciation | Retained earnings | ||
Intangible assets | $82,000 | Common stock | $182,000 |