Reference no: EM133015827
Questions -
Q1. The following information are given from Santos Corporation.
Sales P800,000
Cost of goods sold P500,000
Other expense P50,000
Depreciation P60,000
Rent P100,000
Advertising P150,000
Salaries P200,000
Other income P30,000
Compute Gross profit and Net Profit (Please show your solutions).
Q2. A manufacturing company has net sales of P 50,000 cash expenses (including taxes) of P 35,000 and depreciation expense of P 5,000. If debtors decrease over the period by P 6,000, what is its cash from operations?
Q3. COMPUTE THE NET CASH PROVIDED (USED) FROM OPERATING ACTIVITIES
Credit and Collection Inc. uses the direct method to prepare its statement of cash flows. Charade had the following cash flows during 2011.
Cash receipts from issuance of ordinary shares P800,000
Cash receipts from customers 400,000
Cash receipts from dividends on long term investments 60,000
Cash receipts from repayment of loan made to another company 440,000
Cash payments for wages and other operating expenses 240,000
Cash payments for insurance 20,000
Cash payments for dividends 40,000
Cash payments for taxes 80,000
Cash payment to purchase land 160,000
What is the net cash provided (used) from operating activities?
Q4. The net income for the year ended December 31, 2020 for Prince Town Corp. was P 3,520,000. Additional data follow:
Purchase of plant assets P2,800,000
Depreciation of plant assets 1,480,000
Dividends declared on plant assets 970,000
Net decrease in non-cash current assets 290,000
Loss on sale of equipment 130,000
What should be the cash provided from operating activities in Prince Town Corp. statement of cash flows for the year ended December 31, 2020?