Prepare a statement of cash flows for the month of january

Assignment Help Financial Accounting

Reference no: EM1312774

Preparation of statement of cash flow statement using direct method

San Garza Properties has been in business for many years. On December 31, 2006, the firm's cash balance was $9,121. During January of 2007, the 14 events on the following page were recorded in the company's accounting system.

		Assets		=	Liabilities	+	Owner's Equity
Date	Accounts	Cash	Other Assets				Contributed Capital	Retained Earnings
1	Cash	18,000			18,000
	Bank Loan Payable
2	Rent Expense
	Cash	(3000)						(3000)
3	Office Furniture		5,500
	Cash	(5,500)
4	Merchandise		9,000
	Accounts Payable				9,000
5	Cash	10,000
	Common stock				10,000
6	Adverting Receivable							(2,200)
	Cash	(2,200)
7	Accounts Receivable		18,000
	Sales Revenue							18,000
8	Merchandise		(7,500)
	Costs of Goods Sold							(7,500)
9	Cash	8,100
	Accounts Receivable		(8,100)
10	Accounts Payable				(7,000)
	Cash	(7,000)
11	Computer Equipment		4,800
	Cash	(4,800)
12	Wages Expense							(1,400)
	Wages Payable				1,400
13	Dividends							(2,000)
	Cash	(2,000)
14	Bank Loan Payable				(5,000)
	Interest Expense
	Cash	(5,135)						(135)
	Ending Amounts	$6,465	$21,700		=	$16,400	$10,000	$1,765

Required:
Prepare a statement of cash flows for the month of January 2007. Use good form and the direct format.

Reference no: EM1312774

Questions Cloud

Paired and unpaired samples t-test : Perform a proper analysis. Describe your null and alternative hypothesis, report the p-value. What is your conclusion?

Motion in two dimensions : A Volleyball is spiked so that it has an initial velocity of 15 m/s directed downward at an angle of 55 degrees below the horizontal. Find the horizontal component of the ball’s velocity when the opposing player fields the ball?

Utility function and total wealth : What is the amount of the difference between the maximum premium and AFP, and what is this called?

How to finding npv and irr from the given data : How to Finding NPV and IRR from the given data of the Anderson International Limited is evaluating a project in Erewhon

Prepare a statement of cash flows for the month of january : Preparation of statement of cash flow statement using direct method - Prepare a statement of cash flows for the month of January 2007. Use good form and the direct format.

Computation of expected utility from health insurance : hat is your expected utility without insurance? Suppose you can buy insurance that will cover the medical expenses but not the foregone part of your salary. How much is an actuarially fair policy, and what is your expected utility if you buy it?

Estimating the p-value and power value : The main purpose of this exercise is to check your understanding of significance level, p-values and power .

Computation of resulting income from insurance : Let's say you live in Montana and you like to ride mechanical bulls in bars on Friday nights. You estimate that over the next year there's a 4% probability you will incur medical bills of $20,000

Explaining and comparing mutually exclusive projects : Explaining and Comparing mutually exclusive projects and Negative amount should be indicated by a minus sign

User Account

All Pages