Question

Given the information for Callye,Inc., prepare a statement of cash flows (in thousands)

Increase in accounts receivable: $13 Dividends: $5

Increase in inventories: 25 Change in common stock: 0

Net income: 33 Increase in gross fixed assets: 55

Beginning cash: 15 Depreciation expense: 7

Increase in accounts payable: 20

Increase in accrued expenses: 5

Increase in long-term notes payable: 28

Answer 1

Cash flow statement using indirect method
Callye Inc.
Cash flows statement (Indirect method)
(in thousands)
Cash flow from Operating activities
Net Income		$33.00
Adjustments :
Depreciation Expense	$7.00
Increase in Accounts Receivable	-$13.00
Increase in Inventory	-$25.00
Increase in Accounts Payable	$20.00
Increase in Accrued Expenses	$5.00
		-$6.00
Net Cash available from Operating activities		$27.00
Cash flow from Investing activities
Increase in gross fixed assets	-$55.00
Net cash used for Investing activities		-$55.00
Cash flow from Financing activities
Increase in long-term notes payable	$28.00
Dividends	-$5.00
Net Cash available from Financing activities		$23.00
Net Cash Surplus (deficit)		-$5.00
Add : Beginning Cash		$15.00
Ending Cash balance		$10.00