Net Sales
$8,436,500
Cost of Sales
3,374,600
Gross Profit
5,061,900
Operating, selling, and general and administrative...
Net Sales
$8,436,500
Cost of Sales
3,374,600
Gross Profit
5,061,900
Operating, selling, and general and administrative expenses
2,530,950
Operating profit
2,530,950
Interest expense, net
180,650
Income before income taxes
2,350,300
Income tax expense
470,060
Net Income
$1,880,240
james estimates that net sales will increase by 6% in
the year 2018. Cost of Sales are estimated to be 42% of net sales,
Operating, selling, general and administrative expenses are
expected to be 29% of net sales, Interest expense is expected to...
Using the indirect method of presenting net cash flow from
operating activities, depreciation expense is added...
Using the indirect method of presenting net cash flow from
operating activities, depreciation expense is added to net income
because
A. it represents a cash inflow from the firm’s operating
activities.
B. it is a non-cash expense that was deducted in determining net
income.
C. it is similar to other operating expenses that are paid in
cash during the period.
D. it does not represent one of the firm’s operating
expenses.
E. None of the above.
Cash Flows from Operating Activities—A method of reporting the
cash flows from operating activities as the...
Cash Flows from Operating Activities—A method of reporting the
cash flows from operating activities as the net income from
operations adjusted for all deferrals of past cash receipts and
payments and all accruals of expected future cash receipts and
payments.Indirect Method
The net income reported on the income statement for the current
year was $148,200. Depreciation recorded on store equipment for the
year amounted to $24,500. Balances of the current asset and current
liability accounts at the beginning and end...
Exercise 21-20 Reconciliation of net cash flows from operating
activities to net income [LO21-3, 21-4] The...
Exercise 21-20 Reconciliation of net cash flows from operating
activities to net income [LO21-3, 21-4] The income statement and
the cash flows from the operating activities section of the
statement of cash flows are provided below for Syntric Company. The
merchandise inventory account balance neither increased nor
decreased during the reporting period. Syntric had no liability for
insurance, deferred income taxes, or interest at any time during
the period. SYNTRIC COMPANY Income Statement For the Year Ended
December 31, 2016...
Cash Flows from (Used for) Operating Activities
The net income reported on the income statement for...
Cash Flows from (Used for) Operating Activities
The net income reported on the income statement for the current
year was $73,600. Depreciation recorded on store equipment for the
year amounted to $27,400. Balances of the current asset and current
liability accounts at the beginning and end of the year are as
follows:
End
of Year
Beginning
of Year
Cash
$23,500
$18,700
Accounts receivable (net)
56,000
48,000
Merchandise inventory
35,500
40,000
Prepaid expenses
4,750
7,000
Accounts payable (merchandise creditors)
21,800
16,800...
Cash Flows from Operating Activities—Indirect Method
The net income reported on the income statement for the...
Cash Flows from Operating Activities—Indirect Method
The net income reported on the income statement for the current
year was $144,400. Depreciation recorded on store equipment for the
year amounted to $23,800. Balances of the current asset and current
liability accounts at the beginning and end of the year are as
follows:
End of YearBeginning of Year
Cash$58,770 $54,070
Accounts receivable (net)42,140 39,960
Inventories57,540 60,830
Prepaid expenses6,460 5,140
Accounts payable (merchandise creditors)55,070 51,150
Wages payable30,090 33,420
a. Prepare the “Cash flows...
Cash Flows from Operating Activities—Indirect Method
The net income reported on the income statement for the...
Cash Flows from Operating Activities—Indirect Method
The net income reported on the income statement for the current
year was $146,100. Depreciation recorded on store equipment for the
year amounted to $24,100. Balances of the current asset and current
liability accounts at the beginning and end of the year are as
follows:
End of Year
Beginning of Year
Cash
$58,590
$53,320
Accounts receivable (net)
42,010
39,400
Merchandise inventory
57,360
59,990
Prepaid expenses
6,440
5,070
Accounts payable (merchandise creditors)
54,900
50,440
Wages...
Cash Flows from Operating Activities—Indirect Method
The net income reported on the income statement for the...
Cash Flows from Operating Activities—Indirect Method
The net income reported on the income statement for the current
year was $135,100. Depreciation recorded on store equipment for the
year amounted to $22,300. Balances of the current asset and current
liability accounts at the beginning and end of the year are as
follows:
End of Year
Beginning of Year
Cash
$53,630
$49,340
Accounts receivable (net)
38,450
36,460
Merchandise inventory
52,500
55,510
Prepaid expenses
5,900
4,690
Accounts payable (merchandise creditors)
50,250
46,680
Wages...