Gulf Shipping Company Income Statement January 1 to December 31, 2018 (amounts in thousands) Revenue 9,000...

Gulf Shipping Company Income Statement January 1 to December 31, 2018 (amounts in thousands)
Revenue	9,000
Cost of Goods Sold (COGS)	3,600
Gross Income	5,400
Sales, General, & Administrative Expenses (SG&A)	900
Depreciation Expense	1,000
Other Expenses	400
Earnings Before Interest & Taxes (EBIT)	3,100
Interest	120
Pre-Tax Income	2,980
Income Taxes	1,192
Net Income	1,788

Between January 1 and December 31, 2018:

1. Accounts Receivable decrease by $200,000
2. Accounts Payable increase by $500,000
3. Gross Property, Plant, & Equipment increase by $8,500,000
4. Long Term Debt increases by $900,000

Assume no other changes

What is the Net Cash Flow?

Expert Solution

Ans:

Net Cash Flow Decrease by $4112 Thousands

Gulf Shipping Company
Cash Flow Statement
For the Year ended December 31, 2018
Cash Flow from Operating Activities:
Net Income		$ 1788.00
Add: Adjustments
Depreciation expense	$ 1000.00
Increase in Accounts Payables	$ 500.00
Decrease in Accounts receivables	$ 200.00
		$ 1700.00
A. Cash Flow from Operating Activities		$ 3,488.00

Cash Flow from Investing Activities:
Purchase of Property, Plant, & Equipment	$ (8,500.00)
B. Cash flow from Investing Activities		$ (8,500.00)

Cash Flow from Financing Activities:
Cash from long term debts	$ 900.00
C. Cash Flow from Financing Activities		$ 900.00

D. Net cash flow (A+B+C)		$ (4,112.00)

ekkarill92 answered 1 year ago

Gulf Shipping Company Balance Sheet As of January 24, 2020 (amounts in thousands) Cash 14,300 Accounts...

Gulf Shipping Company Balance Sheet As of January 24, 2020 (amounts in thousands) Cash 14,300 Accounts Payable 1,900 Accounts Receivable 4,100 Debt 3,200 Inventory 5,800 Other Liabilities 4,000 Property Plant & Equipment 14,800 Total Liabilities 9,100 Other Assets 700 Paid-In Capital 7,700 Retained Earnings 22,900 Total Equity 30,600 Total Assets 39,700 Total Liabilities & Equity 39,700 Record the transactions in a journal, transfer the journal entries to T-accounts, compute closing amounts for the T-accounts, and construct a balance sheet to...

Gulf Shipping Company Balance Sheet As of March 11, 2020 (amounts in thousands) Cash 14,300 Accounts...

Gulf Shipping Company Balance Sheet As of March 11, 2020 (amounts in thousands) Cash 14,300 Accounts Payable 1,900 Accounts Receivable 4,100 Debt 3,200 Inventory 5,800 Other Liabilities 4,000 Property Plant & Equipment 14,800 Total Liabilities 9,100 Other Assets 700 Paid-In Capital 7,700 Retained Earnings 22,900 Total Equity 30,600 Total Assets 39,700 Total Liabilities & Equity 39,700 Use T-accounts to record the transactions below, which occur on March 12, 2020, close the T-accounts, and construct a balance sheet to answer the...

INCOME STATEMENT (IN MILL$): January 1, 2019 – December 31, 2019 Revenue = 400; Gross Profit...

INCOME STATEMENT (IN MILL$): January 1, 2019 – December 31, 2019 Revenue = 400; Gross Profit Margin = 30%; Operating Expenses (before depreciation) = 20; Depreciation = 20; Interest = 10; Average Tax Rate =40%; Preferred Dividend = 5; Common Dividend= 7; # of shares outstanding=10 million; Per Share Price of Common Stock = $50.00 BALANCE SHEET (IN MILL$): December 31, 2019 Cash = 5; A/R = 20; Inventory = 55; Net Fixed Asset = 120; Accounts Payable= 10; Accrued...

Mariner, Inc. Comparative Income Statement Years Ended December 31, 2019 and 2018 Dollars in thousands &

Mariner, Inc. Comparative Income Statement Years Ended December 31, 2019 and 2018 Dollars in thousands 2019 2018 2017 Net Sales Revenue $177,000 $154,000 Cost of Goods Sold 94,000 87,500 Selling and Administrative Expenses 47,000 39,500 Interest Expense 8,500 11,500 Income Tax Expense 12,500 9,500 Net Income $15,000 $6,000 Additional data: Total Assets $202,000 $191,000 $171,000 Common Stockholders' Equity 94,500 86,500 80,000 Preferred Dividends 2,000 2,000 0 Common Shares Outstanding During the Year 25,000 25,000 20,000 1. Calculate the profit...

Ruston Company Balance Sheet As of March 11, 2018 (amounts in thousands) Cash 9,000 Accounts Payable...

Ruston Company Balance Sheet As of March 11, 2018 (amounts in thousands) Cash 9,000 Accounts Payable 1,200 Accounts Receivable 3,400 Debt 3,600 Inventory 5,100 Other Liabilities 2,100 Property Plant & Equipment 17,500 Total Liabilities 6,900 Other Assets 600 Paid-In Capital 5,900 Retained Earnings 22,800 Total Equity 28,700 Total Assets 35,600 Total Liabilities & Equity 35,600 Use T-accounts to record the transactions below, which occur on March 12, 2018, close the T-accounts, and construct a balance sheet to answer the question....

Acme Company Balance Sheet As of January 5, 2019 (amounts in thousands) Cash 9,000 Accounts Payable...

Acme Company Balance Sheet As of January 5, 2019 (amounts in thousands) Cash 9,000 Accounts Payable 1,200 Accounts Receivable 3,400 Debt 3,600 Inventory 5,100 Other Liabilities 2,100 Property Plant & Equipment 17,500 Total Liabilities 6,900 Other Assets 600 Paid-In Capital 5,900 Retained Earnings 22,800 Total Equity 28,700 Total Assets 35,600 Total Liabilities & Equity 35,600 Update the balance sheet above to reflect the transactions below, which occur on January 6, 2019 1. Borrow $55,000 from a bank 2. Buy $14,000...

(RM MILLION) FOR THE YEAR ENDED 31 DECEMBER 2019 2018 2019 INCOME STATEMENT 1.Revenue 10,638 11,860...

(RM MILLION) FOR THE YEAR ENDED 31 DECEMBER 2019 2018 2019 INCOME STATEMENT 1.Revenue 10,638 11,860 2.Net total expenses 9,419 11,136 3.Operating profit 1,219 725 4.Profit before taxation 1,335 -522 5.Taxation 360 238 6.Net profit 1,695 -283 BALANCE SHEET 7.Deposits, cash and bank balances 3,327 2,588 8.Total assets 18,550 25,595 9.Net debt (Total debt - Total Cash) 287 -2,159 10.Shareholders' equity 6,185 2,911 CASH FLOW STATEMENTS 11.Cash flow from operating activities 353 2,081 12.Cash flow from investing activities 9,049 4,660...

Income Statement For Year Ended December 31, 2018 Sales revenue $97,200 Expenses Cost of goods sold...

Income Statement For Year Ended December 31, 2018 Sales revenue $97,200 Expenses Cost of goods sold 42,000 Depreciation expense 12,000 Salaries expense 18,000 Rent expense 9,000 Insurance expense 3,800 Interest expense 3,600 Utilities expense 2,800 Net income $6,000 LANSING COMPANY Selected Balance Sheet Accounts At December 31 2018 2017 Accounts receivable $ 5,600 $ 5,800 Inventory 1,980 1,540 Accounts payable 4,400 4,600 Salaries payable 880 700 Utilities payable 220 160 Prepaid insurance 260 280 Prepaid rent 220 180 Prepare the...

The financial statement amounts for the Atwood Company and the Franz Company as of December 31,...

The financial statement amounts for the Atwood Company and the Franz Company as of December 31, 2021, are presented below. Also included are the fair values for Franz Company's net assets (all numbers are in thousands). Atwood Franz Co. Franz Co. Book Value Book Value Fair Value 12/31/2021 12/31/2021 12/31/2021 Cash $ 870 $ 240 $ 240 Receivables 660 600 600 Inventory 1,230 420 580 Land 1,800 260 250 Buildings (net) 1,800 540 650 Equipment (net) 660 380 400 Accounts...

the accountant's Company Income Statement For the Year Ended December 31, 2018 Sales &n

the accountant's Company Income Statement For the Year Ended December 31, 2018 Sales $8,500,000 Manufacturing Expenses Variable $3,250,000 Fixed overhead 640,000 3,890,000 Gross Margin $4,610,000 Selling and administrative expenses Commissions $580,000 Fixed marketing expenses 300,000 Fixed admin expenses 450,000 1,330,000 Net Operating Income $3,280,000 Fixed Interest expenses 230,000 Income before Taxes $3,050,000 Income Taxes (21%) 640,500 Net Income $2,409,500 Your company is considering out-sourcing the sales and marketing to an agency specializing in these...

Question