Statement of cash flows using indirect method

Assignment Help Accounting Basics

Reference no: EM1317324

The comparative balance sheet of Oak and Tile Flooring Co. for June 30, 2008 and 2007 is as follows:

	June 30, 2008	June 30, 2007
Assets
Cash	$34,700	$23,500
Accounts receivable (net)	101,600	92,300
Inventories	146,300	142,100
Investments	0	50,000
Land	145,000	0
Equipment	215,000	175,000
Accumulator depreciation	(48,600)	(41,300)
	$594,000	$442,100
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors)	$100,900	$95,200
Accrued expenses (operating expenses)	15,000	13,200
Dividends payable	12,500	10,000
Common stock, $1 par	56,000	50,000
Paid-in capital in excess of par-common stock	220,000	100,000
Retained earnings	189,600	173,700
	$594,000	$442,100

The following additional information was taken from the records of Oak and The Flooring Co.
a. Equipment and land were acquired for cash.
b. There were no disposals of equipment during the year.
c. The investments were sold for $45,000 cash.
d. The common stock was issued for cash.
e. There was a $65,900 credit to Retailed Earnings for net income.
f. There was a $50,000 debit to Retailed Earnings for cash dividends declared.

Instructions:

Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.

Reference no: EM1317324

Questions Cloud

Sampling times concluding mean times : At the .05 significance level, can we conclude that there is a difference in their mean times?

Find the lowest temperature of vaporization : Find the lowest temperature of vaporization and the highest temperature when there is liquid left over and Determine the range of temperatures which could be used for this process.

Suggesting difference in the mean waiting times : Is there evidence to suggest a difference in the mean waiting times at the four body shops?

Find the partial pressure of each of these gases : Determination of the partial pressures of the gases - Find the partial pressure of each of these gases in the final product mixture.

Statement of cash flows using indirect method : Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.

Determine the volume of air : Determine the Volume of air and partial pressure of nitrogen, oxygen, water vapor and air

Calculation of earnings per share for financial plans : Determine for each plan the earnings per share of common stock, assuming that the income before bond interest and income tax is $2,600,000. Discuss the advantages and disadvantages of each plan.

Calculate the root mean square speed : Calculate the Root Mean Square Speed and its average kinetic energy per molecule of Nitrogen and water vapor

De-broglie equation in electromagnetic specra : Uses of de-Broglie equation in electromagnetic specra - Find the mass of oxygen and decomposed potassium chlorate along with the pressure in the glass bulb.

User Account

All Pages