Question

Presented below is the 2018 income statement and comparative balance sheet information for Tiger Enterprises.

TIGER ENTERPRISES
Income Statement
For the Year Ended December 31, 2018
($ in thousands)
Sales revenue								$	14,500
Operating expenses:
Cost of goods sold		$	4,900
Depreciation			390
Insurance			850
Administrative and other			3,300
Total operating expenses									9,440
Income before income taxes									5,060
Income tax expense									2,024
Net income								$	3,036
Balance Sheet Information ($ in thousands)	Dec. 31,2018						Dec. 31, 2017
Assets:
Cash		$	600					$	350
Accounts receivable			825						980
Inventory			795						750
Prepaid insurance			120						30
Plant and equipment			3,100						2,550
Less: Accumulated depreciation			(1,140	)					(750	)
Total assets		$	4,300					$	3,910
Liabilities and Shareholders' Equity:
Accounts payable		$	375					$	510
Payables for administrative and other expenses			375						550
Income taxes payable			355						300
Note payable (due 12/31/2019)			1,320						900
Common stock			1,080						950
Retained earnings			795						700
Total liabilities and shareholders' equity		$	4,300					$	3,910

Required:
Prepare Tiger’s statement of cash flows, using the indirect method to present cash flows from operating activities. (Hint: You will have to calculate dividend payments). (Enter your answers in thousands. Amounts to be deducted should be indicated with a minus sign.)

Answer 1