Question

The following information applies to the questions displayed below.] Lansing Company’s current-year income statement and selected...

The following information applies to the questions displayed below.]

Lansing Company’s current-year income statement and selected balance sheet data at December 31 of the current and prior years follow.

LANSING COMPANY
Income Statement
For Current Year Ended December 31
Sales revenue $ 118,200
Expenses
Cost of goods sold 49,000
Depreciation expense 15,500
Salaries expense 25,000
Rent expense 9,700
Insurance expense 4,500
Interest expense 4,300
Utilities expense 3,500
Net income $ 6,700

  

LANSING COMPANY
Selected Balance Sheet Accounts
At December 31 Current Year Prior Year
Accounts receivable $ 6,300 $ 7,200
Inventory 2,680 1,890
Accounts payable 5,100 6,000
Salaries payable 1,020 770
Utilities payable 360 230
Prepaid insurance 330 420
Prepaid rent 360 250

Required:
Prepare the operating activities section of the statement of cash flows using the indirect method for the current year. (Amounts to be deducted should be indicated with a minus sign.)

LANSING COMPANY
Cash Flows from Operating Activities—Indirect Method
For Current Year Ended December 31
Cash flows from operating activities:
Adjustments to reconcile net income to net cash provided by operations:
0
$0
Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

LANSING COMPANY

Cash Flows from Operating Activities—Indirect Method

For Current Year Ended December 31

Cash Flow from Operating Activities :
Net income 6,700
Adjustments to reconcile net income to net cash provided by operations:
Depreciation expense 15,500
Account receivable Decrease 900
Inventory increase -790
Account payable decrease -900
Salary payable increase 250
Utilities payable increase 130
Prepaid insurance decrease 90
Prepaid rent increase -110
Net cash provided by operating activities $21,770

Net cash provided by operating activities = $21,770

kindly give a positive rating if you are satisfied with the solution. Please ask if you have any query related to the question, Thanks.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Lansing Company’s current-year income statement and selected balance sheet data at December 31 of the current...
Lansing Company’s current-year income statement and selected balance sheet data at December 31 of the current and prior years follow. LANSING COMPANY Income Statement For Current Year Ended December 31 Sales revenue $ 133,200 Expenses Cost of goods sold 54,000 Depreciation expense 18,000 Salaries expense 30,000 Rent expense 10,200 Insurance expense 5,000 Interest expense 4,800 Utilities expense 4,000 Net income $ 7,200    LANSING COMPANY Selected Balance Sheet Accounts At December 31 Current Year Prior Year Accounts receivable $ 6,800...
Lansing Company’s 2017 income statement and selected balance sheet data (for current assets and current liabilities)...
Lansing Company’s 2017 income statement and selected balance sheet data (for current assets and current liabilities) at December 31, 2016 and 2017, follow. LANSING COMPANY Income Statement For Year Ended December 31, 2017 Sales revenue $142,200 Expenses Cost of goods sold 57,000 Depreciation expense 19,500 Salaries expense 33,000 Rent expense 10,500 Insurance expense 5,300 Interest expense 5,100 Utilities expense 4,300 Net income $7,500    LANSING COMPANY Selected Balance Sheet Accounts At December 31 2017 2016 Accounts receivable $7,100 $8,800 Inventory...
Lansing Company’s 2015 income statement and selected balance sheet data (for current assets and current liabilities)...
Lansing Company’s 2015 income statement and selected balance sheet data (for current assets and current liabilities) at December 31, 2014 and 2015, follow. LANSING COMPANY Income Statement For Year Ended December 31, 2015 Sales revenue $ 64,000 Expenses Cost of goods sold 19,000 Depreciation expense 4,500 Salaries expense 8,000 Rent expense 2,500 Insurance expense 1,900 Interest expense 1,800 Utilities expense 1,100 Net income $ 25,200 LANSING COMPANY Selected Balance Sheet Accounts At December 31 2015 2014 Accounts receivable $ 3,700...
Required information Use the following information for the Problems below. [The following information applies to the...
Required information Use the following information for the Problems below. [The following information applies to the questions displayed below.] Lansing Company’s current-year income statement and selected balance sheet data at December 31 of the current and prior years follow. LANSING COMPANY Income Statement For Current Year Ended December 31 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 $...
The income statement and selected balance sheet information for Calendars Incorporated for the year ended December...
The income statement and selected balance sheet information for Calendars Incorporated for the year ended December 31 is presented below. Income Statement   Sales Revenue $ 72,000   Expenses:        Cost of Goods Sold 33,000        Depreciation Expense 15,400        Salaries and Wages Expense 9,400        Rent Expense 1,900        Insurance Expense 1,000        Interest Expense 900        Utilities Expense 700      Net Income $ 9,700    Selected Balance Sheet Accounts Ending Balances Beginning Balances   Inventory $ 435 $ 500   Accounts Receivable 1,500 1,260   Accounts Payable 1,360 1,620   Salaries...
The income statement and selected balance sheet information for Direct Products Company for the year ended...
The income statement and selected balance sheet information for Direct Products Company for the year ended December 31 are presented below. Income Statement   Sales Revenue $ 45,600   Expenses:        Cost of Goods Sold 19,500        Depreciation Expense 1,700        Salaries and Wages Expense 8,700        Rent Expense 4,200        Insurance Expense 1,750        Interest Expense 1,650        Utilities Expense 1,250   Net Income $ 6,850 Selected Balance Sheet Accounts Ending Balances Beginning Balances   Accounts Receivable $ 575     $ 610       Inventory 860     705       Accounts Payable...
Selected balance sheet information and the income statement for Fountainhead Corporation for the current year are...
Selected balance sheet information and the income statement for Fountainhead Corporation for the current year are presented below.    Selected Balance Sheet Accounts Prior Year Current Year   Accounts Receivable $ 28,300 $ 19,500   Merchandise Inventory 39,000 42,900   Prepaid Rent 2,900 0   Accounts Payable 22,400 29,200   Salaries and Wages Payable 5,800 8,700 Income Statement   Sales Revenue $ 585,000   Expenses:      Cost of Goods Sold 332,000      Depreciation Expense 39,000      Salaries Expense 58,500      Rent Expense 23,400      Insurance Expense 23,400      Interest Expense 21,450      Utilities Expense...
The income statement and selected balance sheet information for Direct Products Company for the year ended...
The income statement and selected balance sheet information for Direct Products Company for the year ended December 31 are presented below. Income Statement   Sales Revenue $ 42,600   Expenses:        Cost of Goods Sold 18,000        Depreciation Expense 1,400        Salaries and Wages Expense 8,400        Rent Expense 3,900        Insurance Expense 1,600        Interest Expense 1,500        Utilities Expense 1,100   Net Income $ 6,700 Selected Balance Sheet Accounts Ending Balances Beginning Balances   Accounts Receivable $ 565     $ 590       Inventory 830     690       Accounts Payable...
The income statement and selected balance sheet information for Direct Products Company for the year ended...
The income statement and selected balance sheet information for Direct Products Company for the year ended December 31 are presented below. Income Statement   Sales Revenue $ 42,600   Expenses:        Cost of Goods Sold 18,000        Depreciation Expense 1,400        Salaries and Wages Expense 8,400        Rent Expense 3,900        Insurance Expense 1,600        Interest Expense 1,500        Utilities Expense 1,100   Net Income $ 6,700 Selected Balance Sheet Accounts Ending Balances Beginning Balances   Accounts Receivable $ 565     $ 590       Inventory 830     690       Accounts Payable...
2. The following income statement and information about selected current assets and current liabilities      is...
2. The following income statement and information about selected current assets and current liabilities      is available for Peters Company:                                                                  Peters Company                                                                 Income Statement                                                  For the Year Ended December 31, 2018                           Sales……………………………………………………..                 $180,000                                                               Cost of goods sold……………………………………….                   104,000                           Gross profit from sales……………………………………                $ 76,000                           Operating expenses:                                  Salaries and wages expense………………………… $25,000                                    Depreciation expense………………………………..     5,000                                  Rent expense…………………………………............    7,200                                  Insurance expense……………………………………    1,900       39,100                            Income from operations………………………………….                 $ 36,900                           ...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT