Question

Sunny Technologies Inc. began operations on January 1, 2016. Its post-closing trial balance at December 31,...

Sunny Technologies Inc. began operations on January 1, 2016. Its post-closing trial balance at December 31, 2016 and 2017, is shown below along with some other information.

Sunny Technologies Inc.
Income Statement
For Year Ended December 31, 2017
  Revenues:
     Sales $ 628,100
     Cost of goods sold 484,100
  Gross Profit 144,000
  Expenses and other:
     Other expenses $ 156,100
     Depreciation expense 26,500
     Total operating expenses 182,600
    
  Operating Profit (Loss) (38,600)
    Loss on sales of plant assets     21,700
  Profit (Loss) $ (60,300)
Sunny Technologies Inc.
Post-Closing Trial Balance
December 31
Account 2017 2016
  Cash $ 64,200 $ 76,890
  Receivables 43,400 31,300
  Merchandise inventory 28,100 36,100
  Property, plant and equipment 231,300 190,490
  Accumulated depreciation 64,900 53,700
  Accounts payable 52,120 62,400
  Accrued liabilities 12,100 7,300
Notes payable 97,690 40,090
  Common shares 49,690 8,000
  Retained earnings 90,500 163,290


Other information regarding Sunny and its activities during 2017:
1. Assume all accounts have normal balances.
2. Cash dividends were declared and paid during the year.
3. Plant assets were sold during the year.
4. Plant assets worth $100,100 were purchased during the year by paying cash of $32,900 and issuing a long-term note payable for the balance.

Required:
Using the information provided, prepare a statement of cash flows (applying the indirect method) for the year ended December 31, 2017. (List any deduction in cash and cash outflows and loss as negative amount

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Statement of cash flow :

Cash flow from operating activities
Net loss -60300
Adjustment to reconcile net income
Depreciation expenses 26500
Loss on sal eof plant assets 21700
Increase in account receivable (12100)
Decrease inventory 8000
Decrease account payable (10280)
increase accured liabilities 4800
Net cash flow from operating activities -21680
Cash flow from investing activities
Sale of property,plant and equipment 22290
Purchase of property,plant and equipment (32900)
Net cash flow from investing activities -10610
Cash flow from financing activities
nOtes payable repaid (9600)
Issue common stock 41690
Dividend paid (12490)
Net cash flow from financing activities 19600
Net cash flow -12690
Beginning cash 76890
Ending cash 64200
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
Paddleboard Inc. began operations on January 1, 2016. Its post-closing trial balance at December 31, 2016...
Paddleboard Inc. began operations on January 1, 2016. Its post-closing trial balance at December 31, 2016 and 2017, is shown below along with some other information. Paddleboard Inc. Income Statement For Year Ended December 31, 2017 (000s)   Revenues:         Sales $3,814                Cost of goods sold 1,566          Gross Profit 2,248          Expenses:                       Other expenses $850                Depreciation expense 110                Total operating expenses 960          Profit from operations 1,288           Income tax expense 288         Profit $1,000       Paddleboard...
Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED CORPORATION POST-CLOSING...
Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2017 Dr. Cr. Accounts payable $ 160,900 Accounts receivable $ 491,000 Accumulated depreciation—buildings 202,000 Additional paid-in capital in excess of par—common 1,346,000 From treasury stock 165,000 Allowance for doubtful accounts 28,000 Bonds payable 281,000 Buildings 1,344,000 Cash 171,000 Common stock ($1 par) 206,000 Dividends payable (preferred stock—cash) 4,100 Inventory 505,000 Land 416,000 Preferred stock ($50 par) 450,000 Prepaid expenses 41,000...
Waterway Corporation’s post-closing trial balance at December 31, 2020, is shown as follows. WATERWAY CORPORATION POST-CLOSING...
Waterway Corporation’s post-closing trial balance at December 31, 2020, is shown as follows. WATERWAY CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2020 Dr. Cr. Accounts payable $ 273,600 Accounts receivable $ 496,000 Accumulated depreciation—buildings 176,000 Additional paid-in capital in excess   of par—common 1,428,000   From treasury stock 146,000 Allowance for doubtful accounts 32,000 Bonds payable 290,000 Buildings 1,466,000 Cash 198,000 Common stock ($1 par) 182,000 Dividends payable (preferred stock—cash) 4,400 Inventory 569,000 Land 381,000 Preferred stock ($50 par) 450,000 Prepaid expenses 42,000...
Exercise 15-17 Splish Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. SPLISH...
Exercise 15-17 Splish Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. SPLISH CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2017 Dr. Cr. Accounts payable $ 467,300 Accounts receivable $ 457,000 Accumulated depreciation—buildings 197,000 Additional paid-in capital in excess   of par—common 1,229,000   From treasury stock 176,000 Allowance for doubtful accounts 30,000 Bonds payable 324,000 Buildings 1,503,000 Cash 191,000 Common stock ($1 par) 202,000 Dividends payable (preferred stock—cash) 3,700 Inventory 597,000 Land 435,000 Preferred stock ($50 par) 450,000 Prepaid...
Exercise 15-17 Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED...
Exercise 15-17 Riverbed Corporation’s post-closing trial balance at December 31, 2017, is shown as follows. RIVERBED CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2017 Dr. Cr. Accounts payable $ 345,900 Accounts receivable $ 488,000 Accumulated depreciation—buildings 183,000 Additional paid-in capital in excess of par—common 1,380,000 From treasury stock 169,000 Allowance for doubtful accounts 33,000 Bonds payable 273,000 Buildings 1,530,000 Cash 172,000 Common stock ($1 par) 180,000 Dividends payable (preferred stock—cash) 4,100 Inventory 578,000 Land 417,000 Preferred stock ($50 par) 550,000 Prepaid...
Skysong Inc. had the following balance sheet at December 31, 2016. SKYSONG INC. BALANCE SHEET DECEMBER...
Skysong Inc. had the following balance sheet at December 31, 2016. SKYSONG INC. BALANCE SHEET DECEMBER 31, 2016 Cash $7,400 Accounts payable $15,500 Accounts receivable 13,600 Bonds payable 9,000 Investments 15,300 Common stock 36,700 Plant assets (net) 35,200 Retained earnings 27,200 Land 16,900 $88,400 $88,400 During 2017, the following occurred. 1. Net income was $29,400. 2. Depreciation expense was $8,400. 3. Skysong liquidated its investment portfolio (comprised of available-for-sale investments), realizing a $5,500 loss. 4. Skysong issued $20,500 of common...
1. Terry company's 2017 income statement and comparative balance sheets at December 31 of 2016 and...
1. Terry company's 2017 income statement and comparative balance sheets at December 31 of 2016 and 2017are shown. Terry Company                                                                    Income Statement        For the year Ended December 31, 2017    Sales                                                 $ 390,000    Cost of Goods Sold                            235,000                                                                                _______      Gross Profit                                                        $ 155,000    Wages Expenses                              $ 63,000    Depreciation Expense                        14,000    Other Operating Expenses                  26,000    Income Tax Expense                           17,000    120,000                                                                                 ______    ________      Net Income                                                          $ 35,000                                                  ...
The current sections of Scoggin Inc.’s balance sheets at December 31, 2016 and 2017, are presented...
The current sections of Scoggin Inc.’s balance sheets at December 31, 2016 and 2017, are presented here. Scoggin’s net income for 2017 was $154,700. Depreciation expense was $23,300. 2017 2016 Current assets    Cash $102,700 $97,700    Accounts receivable 109,400 80,000    Inventory 158,200 173,000    Prepaid expenses 26,900 25,900       Total current assets $397,200 $376,600 Current liabilities    Accrued expenses payable $15,000 $9,300    Accounts payable 84,000 95,600       Total current liabilities $99,000 $104,900 Prepare the net cash provided by operating activities section of the company’s statement...
The following is a December 31, 2021, post-closing trial balance for Culver City Lighting, Inc. Account...
The following is a December 31, 2021, post-closing trial balance for Culver City Lighting, Inc. Account Title Debits Credits Cash $ 75,000 Accounts receivable 59,000 Inventory 65,000 Prepaid insurance 35,000 Equipment 160,000 Accumulated depreciation $ 54,000 Patent (net) 60,000 Accounts payable 22,000 Interest payable 12,000 Notes payable (due in 10 years) 210,000 Common stock 90,000 Retained earnings 66,000 Totals $ 454,000 $ 454,000 Prepare a classified balance sheet for Culver City Lighting, Inc. (Amounts to be deducted should be indicated...
MONTGOMERY INC. Comparative Balance Sheets December 31, 2016 and 2015 2016 2015   Assets   Cash $ 30,400...
MONTGOMERY INC. Comparative Balance Sheets December 31, 2016 and 2015 2016 2015   Assets   Cash $ 30,400 $ 30,550   Accounts receivable, net 10,050 12,150   Inventory 90,100 70,150   Total current assets 130,550 112,850   Equipment 49,900 41,500   Accum. depreciation—Equipment (22,500 ) (15,300 )   Total assets $ 157,950 $ 139,050   Liabilities and Equity   Accounts payable $ 23,900 $ 25,400   Salaries payable 500 600   Total current liabilities 24,400 26,000   Equity   Common stock, no par value 110,000 100,000   Retained earnings 23,550 13,050   Total liabilities and equity...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT