Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
HOMEWORK Spring 2011 ACT3391 13. (2.5 points) Identify which section on a statement of cash flow that the following should be presented/reflected. a. Issued long-term bonds in exchange for cash. financing b. Borrowed money on a short-term basis. financing c. Repurchased company stock (treasury stock). financing d. Sold a fixed asset at an amount that is less than BV. 14. (3.5 points) Hartley Company Hartley Company Statement of Cash Flows For the year ended December 31, 2011 Cash , beginning of year $600,000 Operating activities: Net income 340,000 Depreciation expense 60,000 Gain on sale of fixed assets ( 10,000) Change in accounts receivable (100,000) Change in prepaid expenses (100,000 ) Cash flows provided by operating activities 190,000 Investing activities: Capital expenditures (300,000) Proceeds from asset sales 135,000 Cash flows used in investing activities (165,000) Financing activities: Dividends to shareholders (100,000) Additions to long-term debt
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 565,000 Reductions of long-term debt (400 ,000) Proceeds from issuing stock 60,000 Cash flows provided by financing activities 125,000 Change in cash 150,000 Cash, end of year $750,000 15. (1 point) During 2010 the DLD Company reported net income of $150,000. Building 4,000 decrease proceeds an investing activity, no information about a gain or loss Bonds payable 8,000 increase a financing activity Net income 150,000 Add depreciation expense 1,500 Subtract increase in AR 3,000 Add increase in accrued expenses payable 1,000 Cash flows provided by operating activities 149,500 16. (3 points) Jones Corporation Net income 7,000,000 Add depreciation expense 1,500,000 Subtract gain on sale of fixed asset 800,000 Subtract increase in AR 3,300,000 Add decrease in prepaids 800,000 Subtract decrease in AP 2,000,000 Add increase in unearned 800,000 Cash flows provided by operating activities 4,000,000 1 2...
View Full Document

Page1 / 2


This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online