1. Sales on account were $548,000. The beginning receivables balance was $128,000 and the ending balance was $90,000. 2. Salaries expense for the period was $232,000. The beginning salaries payable balance was $16,000 and the ending balance was $8,000. 3. Other operating expenses for the period were $236,000. The beginning other operating expenses payable balance was $16,000 and the ending balance was $10,000. 4. Recorded $30,000 of depreciation expense. The beginning and ending balances in the Accumulated Depreciation account were $12,000 and $42,000, respectively. 5. The Equipment account had beginning and ending balances of $44,000 and $56,000, respectively. There were no sales of equipment during the period. 6. The beginning and ending balances in the Notes Payable account were $36,000 and $44,000, respectively. There were no payoffs of notes during the period. 7. There was $4,600 of interest expense reported on the income statement. The beginning and ending balances in the Interest Payable account were $8,400 and $7,500, respectively. 8. The beginning and ending Merchandise Inventory account balances were $22,000 and $29,400, respectively. The company sold merchandise with a cost of $83,600 (cost of goods sold for the period was $83,600). The beginning and ending balances in the Accounts Payable account were $8,000 and $6,400, respectively. 9. The beginning and ending balances in the Notes Receivable account were $60,000 and $100,000, respectively. Notes receivable result from long-term loans made to employees. There were no collections from employees during the period. 10. The beginning and ending balances in the Common Stock account were $120,000 and $160,000, respectively. The increase was caused by the issue of common stock for cash. 11. Land had beginning and ending balances of $24,000 and $14,000, respectively. Land that cost $10,000 was sold for $6,000,
1. Sales on account were $548,000. The beginning receivables balance was $128,000 and the ending balance was $90,000. 2. Salaries expense for the period was $232,000. The beginning salaries payable balance was $16,000 and the ending balance was $8,000. 3. Other operating expenses for the period were $236,000. The beginning other operating expenses payable balance was $16,000 and the ending balance was $10,000. 4. Recorded $30,000 of depreciation expense. The beginning and ending balances in the Accumulated Depreciation account were $12,000 and $42,000, respectively. 5. The Equipment account had beginning and ending balances of $44,000 and $56,000, respectively. There were no sales of equipment during the period. 6. The beginning and ending balances in the Notes Payable account were $36,000 and $44,000, respectively. There were no payoffs of notes during the period. 7. There was $4,600 of interest expense reported on the income statement. The beginning and ending balances in the Interest Payable account were $8,400 and $7,500, respectively. 8. The beginning and ending Merchandise Inventory account balances were $22,000 and $29,400, respectively. The company sold merchandise with a cost of $83,600 (cost of goods sold for the period was $83,600). The beginning and ending balances in the Accounts Payable account were $8,000 and $6,400, respectively. 9. The beginning and ending balances in the Notes Receivable account were $60,000 and $100,000, respectively. Notes receivable result from long-term loans made to employees. There were no collections from employees during the period. 10. The beginning and ending balances in the Common Stock account were $120,000 and $160,000, respectively. The increase was caused by the issue of common stock for cash. 11. Land had beginning and ending balances of $24,000 and $14,000, respectively. Land that cost $10,000 was sold for $6,000,
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 14BEA: Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000....
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Transcribed Image Text:Complete this question by entering your answers in the tabs below.
Required A
Required B
Determine the amount of cash flow for each item and indicate whether the item should appear in the operating, investing, or
financing activities section of a statement of cash flows. Assume York Company uses the direct method for showing net cash
flow from operating activities. (Any cash outflow should be indicated by a minus sign. Select "No effect" if there is no effect
(i.e., zero variance).)
Show less A
Transactions
Amount
Statement of cash flows
1.
in Accounts receivable account
2.
in Salaries payable account
3.
in Other operating expenses payable
4.
in Depreciation expense
5.
in Equipment account
6.
in Notes payable account
7.
in Interest payable account
8.
in Accounts payable
9.
in Notes receivable
10.
in Common stock account
11.
in Land account
12.
in Taxes payable account
13
in Investments account
< Required A
Required B >
Transcribed Image Text:York Company engaged in the following transactions for Year 1. The beginning cash balance was $86,000 and the ending cash
balance was $59,100.
1. Sales on account were $548,000. The beginning receivables balance was $128,000 and the ending balance was $90,000.
2. Salaries expense for the period was $232,000. The beginning salaries payable balance was $16,000 and the ending balance was
$8,000.
3. Other operating expenses for the period were $236,000. The beginning other operating expenses payable balance was $16,000
and the ending balance was $10,000.
4. Recorded $30,000 of depreciation expense. The beginning and ending balances in the Accumulated Depreciation account were
$12,000 and $42,000, respectively.
5. The Equipment account had beginning and ending balances of $44,000 and $56,000, respectively. There were no sales of
equipment during the period.
6. The beginning and ending balances in the Notes Payable account were $36,000 and $44,000, respectively. There were no payoffs
of notes during the period.
7. There was $4,600 of interest expense reported on the income statement. The beginning and ending balances in the Interest
Payable account were $8,400 and $7,500, respectively.
8. The beginning and ending Merchandise Inventory account balances were $22,000 and $29,400, respectively. The company sold
merchandise with a cost of $83,600 (cost of goods sold for the period was $83,600). The beginning and ending balances in the
Accounts Payable account were $8,000 and $6,400, respectively.
9. The beginning and ending balances in the Notes Receivable account were $60,000 and $100,000, respectively. Notes receivable
result from long-term loans made to employees. There were no collections from employees during the period.
10. The beginning and ending balances in the Common Stock account were $120,000 and $160,000, respectively. The increase was
caused by the issue of common stock for cash.
11. Land had beginning and ending balances of $24,000 and $14,000, respectively. Land that cost $10,000 was sold for $6,000,
resulting in a loss of $4,000.
12. The tax expense for the period was $6,600. The Taxes Payable account had a $2,400 beginning balance and a $2,200 ending
balance.
13. The Investments account had beginning and ending balances of $20,000 and $60,000, respectively. The company purchased
investments for $50,000 cash during the period, and investments that cost $10,000 were sold for $22,000, resulting in a $12,000
gain.
Required
a. Determine the amount of cash flow for each item and indicate whether the item should appear in the operating, investing, or
financing activities section of a statement of cash flows. Assume York Company uses the direct method for showing net cash flow
from operating activities.
b. Prepare a statement of cash flows using the direct method.
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