Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

On the basis of the data for ABC Co. given below for 2008 and the previous year ended December 31, 2007, create a statement of cash flows using indirect method of reporting cash flows from operating activities. Suppose that equipment costing $125,000 was purchased for cash and equipment costing $85,000 with collected depreciation of $65,000 was sold for $15,000; the stock was issued for cash; and only entries in the retained earnings  account were net income of $51,000 and cash dividends declared of $13,000.

                                                                             Year 2008    Year 2007
Cash                                                                       $90,000      $ 78,000
Accounts receivable (net)                                          78,000         85,000
Inventories                                                             106,500         90,000
Equipment                                                              410,000       370,000
Accumulated depreciation                                     (150,000)     (158,000)
                                                                           $534,500      $465,000
Accounts payable (merchandise creditors)             $ 53,500       $ 55,000
Cash dividends payable                                              5,000            4,000
Common stock, $10 par                                        200,000       170,000
Paid-in capital in excess of par--   common stock      62,000         60,000
Retained earnings                                                   214,000       176,000
                                                                           $534,500     $465,000

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M99758

Have any Question? 


Related Questions in Accounting Basics

Assignment- review of accounting ethics papermany

Assignment- Review of Accounting Ethics Paper Many organizations have been in the news over the past few years due to accounting ethical breaches that have affected their customers, employees, or the general public. Sear ...

Gasbvisit the website of the governmental accounting

G.A.S.B Visit the website of the Governmental Accounting Standards Board (G.A.S.B.) at http://gasb.org. Review the website to learn about the organization, its act ivies, and its goals. Review one or more of the "Plain-L ...

Individual internal accountants report to managementyou are

Individual Internal Accountants Report to Management You are the internal accountant at a company that is preparing for an upcoming government contract bid. The management in your company is deciding if it is necessary f ...

Accounting for nonfinancial assets will experience some

Accounting for nonfinancial assets will experience some major changes with the convergence to IFRS. One of the key issues will be that of fair value. Research this topic, and give your argument for or against the use of ...

1 the manufacture of herbal health tonic is a competitive

1. The manufacture of herbal health tonic is a competitive industry. The manufacturing facilities have an annual output of 100,000 gallons. Operating costs are $2 per gallon. A 100,000 gallon capacity plant costs $500,00 ...

Discussion 1 and 2discussion 1select one of the following

Discussion 1 and 2 Discussion 1 Select one of the following tools: the nine steps in Ackerman and Anderson's roadmap for change, Cummings and Worley's five dimensions of leading and managing change, or the three componen ...

1-15 multiple choice each multiple choice has only one

1-15. Multiple Choice Each multiple choice has only one correct answer. 1. Which of the following aspects of a company could be considered a critical success factor, given the appropriate business environment? A) cutting ...

Assignmentpaper 1excel spreadsheet and 1-2 pagesconsider

Assignment Paper #1 Excel Spreadsheet and 1-2 pages Consider the following scenario: Andre has asked you to evaluate his business, Andre's Hair Styling. Andre has five barbers working for him. (Andre is not one of them.) ...

Although sloan company had good earnings reports in 20x5

Although Sloan Company had good earnings reports in 20X5 and 20X6, it had a negative retained earnings balance on December 31, 20X6. Jacobs Corporation purchased 100 percent of Sloan's common stock on January 1, 20X7. Re ...

Assignmentthis assignment has 2 parts 1000 10 word theory

Assignment This assignment has 2 parts, 1000 + 10% word theory interpretation essay and a response to a practical application of the theory. The assignment must be typed, use Arial font, 12, to avoid plagiarism, make sur ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen