Question

In: Accounting

Which of these transactions would not be part of the cash flows from the operating activities...

Which of these transactions would not be part of the cash flows from the operating activities section of the statement of cash flows?

A. credit purchase of inventory

B. sales of product, for cash

C. cash paid for purchase of equipment

D. salary payments to employees

Solutions

Expert Solution

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

Cash Flows from Operating Activities—Direct Method The cash flows from operating activities are reported by the...
Cash Flows from Operating Activities—Direct Method The cash flows from operating activities are reported by the direct method on the statement of cash flows. Determine the following: a. If sales for the current year were $509,900 and accounts receivable decreased by $32,600 during the year, what was the amount of cash received from customers? $ b. If income tax expense for the current year was $44,200 and income tax payable decreased by $4,400 during the year, what was the amount...
Construct the Operating Activities part ONLY for 2017 from the Statement of Cash Flows based on...
Construct the Operating Activities part ONLY for 2017 from the Statement of Cash Flows based on the information below: Thomas Company 2017 Income Statement ($ in millions) Net sales $ 9,530 Cost of goods sold 7,760 Depreciation 465 Earnings before interest and taxes $ 1,305 Interest paid 104 Taxable income $ 1,201 Taxes 420 Net income $ 781 Thomas Company 2016 and 2017 Balance Sheets ($ in millions) 2016 2017 2016 2017 Cash $ 230 $ 260 Accounts payable $...
Calculate cash flows from operating activities for 2018
Chew Corporation prepares its statement of cash flows using the indirect method of reporting operating activities. Net income for the 2018 fiscal year was $1,250,000. Depreciation expense of $140,000 was included with operating expenses in the income statement. The following information describes the changes in current assets and liabilities other than cash:ParticularsAmount$Increase in accounts receivable152,000Decrease in inventories108,000Decrease in prepaid expenses62,000Decrease in salaries payable30,000Increase in income taxes payable44,000Calculate cash flows from operating activities for 2018
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net...
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net income from operations adjusted for all deferrals of past cash receipts and payments and all accruals of expected future cash receipts and payments.Indirect Method The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows: Dec. 31, 20Y8 Dec. 31, 20Y7 Assets Cash $74,970 $91,680 Accounts receivable (net) 115,190 123,590 Merchandise inventory 164,570 153,180 Prepaid expenses 6,700...
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net...
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net income from operations adjusted for all deferrals of past cash receipts and payments and all accruals of expected future cash receipts and payments.Indirect Method List the errors you find in the following statement of cash flows. The cash balance at the beginning of the year was $240,000. All other amounts are correct, except the cash balance at the end of the year. Shasta Inc....
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net...
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net income from operations adjusted for all deferrals of past cash receipts and payments and all accruals of expected future cash receipts and payments.Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 20Y9 and 20Y8, is as follows: Dec. 31, 20Y9 Dec. 31, 20Y8 Assets Cash $244,410 $227,360 Accounts receivable (net) 88,540 81,660 Inventories 249,940 241,760 Investments 0 93,660 Land 128,200...
Statement of Cash Flows The indirect method of preparing Cash Flows from Operating Activities in the...
Statement of Cash Flows The indirect method of preparing Cash Flows from Operating Activities in the Statement of Cash Flows starts with accrual net income, and makes adjustments to convert it to net cash provided (used) by operating activities. REQUIRED: Explain how and why the following three items would be handled in the conversion of accrual net income to net cash provided (used) by operating activities. (1) Depreciation Expense (2)   An increase in Accounts Receivable (3) An increase in Wages...
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net...
Statement of Cash Flows—A method of reporting the cash flows from operating activities as the net income from operations adjusted for all deferrals of past cash receipts and payments and all accruals of expected future cash receipts and payments.Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 20Y9 and 20Y8, is as follows: Dec. 31, 20Y9 Dec. 31, 20Y8 Assets Cash $284,360 $265,430 Accounts receivable (net) 103,010 95,330 Inventories 290,800 282,260 Investments 0 109,350 Land 149,150...
Q5 For each of the following transactions, indicate whether net cash flows from operating activities (O),...
Q5 For each of the following transactions, indicate whether net cash flows from operating activities (O), investing activities (I), or financing activities (F) are affected and whether the effect is an inflow (+) or outflow (-), or write NE if the transaction has no effect on cash. (Hint: determine the journal entry recorded for the transaction. The transaction affects net cash flows if, and only if, the cash account is affected.) ______1. Paid a building rent for the following period....
Q1 - Cash flows from investing activities, as part of the statement of cash flows, include:...
Q1 - Cash flows from investing activities, as part of the statement of cash flows, include: a. Collections from customers. b. Receipts from the sale of land. c. Issuing a company’s own stocks. d. Paying dividends. Q2 - The method that uses cash account to prepare cash flow from operating activities section of cash flow statement is: a. Direct Method b. Reciprocal Method c. Indirect Method d. Direct Write off Method Q3- A company’s net sales and average accounts receivables...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT