Question

Some recent financial statements for Smolira Golf Corp. follow.

  

SMOLIRA GOLF 2011 and 2012 Balance Sheets
Assets									Liabilities and Owners’ Equity
	2011				2012					2011				2012
Current assets									Current liabilities
Cash	$	24,096			$	24,600			Accounts payable	$	23,684			$	27,600
Accounts receivable		12,948				15,700			Notes payable		14,000				11,300
Inventory		26,242				27,600			Other		12,071				18,100
Total	$	63,286			$	67,900			Total	$	49,755			$	57,000
									Long-term debt	$	74,000			$	82,000
									Owners’ equity
									Common stock and paid-in surplus	$	48,000			$	48,000
									Accumulated retained earnings		221,226				242,000
Fixed assets
Net plant and equipment	$	329,695			$	361,100			Total	$	269,226			$	290,000
Total assets	$	392,981			$	429,000			Total liabilities and owners’ equity	$	392,981			$	429,000

SMOLIRA GOLF, INC. 2012 Income Statement
Sales					$	414,290
Cost of goods sold						265,500
Depreciation						57,700
Earnings before interest and taxes					$	91,090
Interest paid						14,800
Taxable income					$	76,290
Taxes (40%)						30,516
Net income					$	45,774
Dividends	$	25,000
Retained earnings		20,774

Prepare the 2012 statement of cash flows for Smolira Golf Corp. (Negative amounts should be indicated by a minus sign.)

SMOLIRA GOLF CORP. Statement of Cash Flows For 2012
Cash, beginning of the year	$
Operating activities
(Click to select)Net incomeNet loss	$
(Click to select)Less: Increase in accounts payableAdd: Increase in accounts payableAdd: DepreciationLess: Increase in other current liabilitiesAdd: Increase in other current liabilitiesLess: Depreciation	$
(Click to select)Less: Increase in other current liabilitiesLess: Increase in accounts payableAdd: Increase in accounts payableLess: DepreciationAdd: DepreciationAdd: Increase in other current liabilities
(Click to select)Less: Increase in accounts payableLess: DepreciationLess: Increase in other current liabilitiesAdd: Increase in accounts payableAdd: Increase in other current liabilitiesAdd: Depreciation
(Click to select)Less: Increase in inventoryLess: Increase in accounts receivableAdd: Increase in accounts receivableLess: Increase in notes payableAdd: Increase in notes payableAdd: Increase in inventory	$
(Click to select)Add: Increase in inventoryLess: Increase in accounts receivableLess: Increase in notes payableAdd: Increase in notes payableAdd: Increase in accounts receivableLess: Increase in inventory
Net cash from operating activities	$
Investment activities
(Click to select)Increase in inventoryDecrease in notes payableFixed asset acquisitionDividends paidIncrease in notes payableDecrease in inventory	$
Net cash from investment activities	$
Financing activities
(Click to select)Dividends paidIncrease in notes payableIncrease in long-term debtDecrease in long-term debtDecrease in notes payableIncrease in accounts payable	$
(Click to select)Increase in accounts payableIncrease in notes payableIncrease in long-term debtDividends paidDecrease in long-term debtDecrease in notes payable
(Click to select)Increase in long-term debtDecrease in long-term debtIncrease in notes payableDividends paidDecrease in notes payableIncrease in accounts payable
Net cash from financing activities	$
(Click to select)Net decrease in cashNet increase in cash	$
Cash, end of year	$

rev: 09_11_2013_QC_35105

Answer 1

Fixed Assets acquisitions = Net Plant and Equipment, end of the year + Depreciation - Net Plant and Equipment, beginning of the year
Fixed Assets acquisitions = $361,100 + $57,700 - $329,695
Fixed Assets acquisitions = $89,105