View the step-by-step solution to:

You asked: "PROBLEM # 2 Condensed financial data of Fulton Corp. for 2008 and 2007 are presented below. FULTON CORP.

You asked:
"PROBLEM # 2
Condensed financial data of Fulton Corp. for 2008 and 2007 are presented below.

FULTON CORP.
COMPARATIVE BALANCE SHEET
AS OF DECEMBER 31, 2008 AND 2007

2008 2007
Cash $800 $600
Investments 0 200
Receivables 2,250 2,100
Inventory 1,600 1,200
Plant assets 1,600 1,200
Accumulated depreciation (600) (455)
$5,650 $4,845

Accounts payable $750 $1,200
Accrued liabilities 330 520
Bonds payable 800 1,000
Capital stock 1,500 1,400
Retained earnings 2,270 725
$5,650 $4,845


FULTON COMPANY
INCOME STATEMENT
FOR THE YEAR ENDED DECEMBER 31, 2008

Sales $15,200
Cost of goods sold 10,400
Gross profit 4,800
Selling and administrative expenses 1,205
Income from operations 3,595
Other revenues and gains
Loss on sale of investments _ 50
Income before income tax 3,545
Income tax expense 1,400
Net income 2,145
Cash dividends 600
Income retained in business $1,545

Additional information:
During the year, $100 of common stock was issued in exchange for land. No plant assets were sold in 2008.

Instructions
Prepare a statement of cash flows using the direct method. (Do not prepare a reconciliation schedule.)
Sign up to view the entire interaction

Top Answer

Dear Student, Please check the attached solutions of your... View the full answer

cash flow.xlsx

Condensed financial data of Fulton Corp. for 2008 and 2007 are presented below.
FULTON CORP.
COMPARATIVE BALANCE SHEET
AS OF DECEMBER 31, 2008 AND 2007 Cash
Investments
Receivables
Inventory
Plant...

Sign up to view the full answer

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

-

Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question
Ask a homework question - tutors are online