KrasnowHCH12.xlsx - Name Hannah Krasnow Date Instructor Ingalls Course BUA 201 Financial Accounting Chapter 12 Homework P12-7A Prepare a statement of

KrasnowHCH12.xlsx - Name Hannah Krasnow Date Instructor...

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5bb885de37e2158a504e069e4ab9fd3303bba51b.xlsx, Page 1 of 2 Page(s), 12/11/201715:17:19 Name: Hannah Krasnow Date: 12/03/17 Instructor: Ingalls Course: BUA 201 Financial Accounting: Chapter 12 Homework P12-7A, Prepare a statement of cash flows—indirect method, and compute cash-based ratios.Presented below are the financial statements of Kurtzel Company.KURTZEL COMPANYComparative Balance SheetsDecember 31Assets20172016Cash$35,000 $20,000 Accounts receivable20,000 14,000 Inventory28,000 20,000 Property, plant, and equipment60,000 78,000 Accumulated depreciation(32,000)(24,000)Total$111,000 $108,000 Liabilities and Stockholders’ EquityAccounts payable$19,000 $15,000 Income taxes payable7,000 8,000 Bonds payable17,000 33,000 Common stock18,000 14,000 Retained earnings50,000 38,000 Total$111,000 $108,000 KURTZEL COMPANYIncome StatementFor the Year Ended December 31, 2017Sales$242,000 Cost of goods sold175,000 Gross profit67,000 Selling expenses$18,000 Administrative expenses6,000 24,000 Income from operations43,000 Interest expense3,000 Income before income taxes40,000 Income tax expense8,000 Net income$32,000 Additional data:1.Depreciation expense was$17,500 2.Dividends declared and paid were$20,000 3.
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