The following is financial information for three companies: Required For each of the above companies, calculate the
Question:
The following is financial information for three companies:
Required
For each of the above companies, calculate the cash flow from operations using the indirect method.
Transcribed Image Text:
NuVu Ltd. ABC Inc. Akhtar Ltd. Sales revenue $380,000 $575,000 $936,000 Cost of goods sold 210,000 330,000 620,000 Selling and administrative expenses 65,000 95,000 105,000 Depreciation expense 7,000 18,000 28,000 Interest expense 3,000 1,000 2,000 Income tax expense 18,000 35,000 45,000 Dividends paid 7,000 5,000 25,000 Increasel(Decrease) in (8,500) Accounts receivable (2,500) 5,000 Inventory 4,000 (8,000) 14,000 50,000 Property, plant, and equipment (10,000) 60,000 Accounts payable 3,500 (6,500) 4,200 Interest payable (1,500) 1,200 (500) Income tax payable 2,500 (1,500) 6,500 Mortgage payable 20,000 (40,000) 10,000 (80,000) Common shares 30,000 (5,000)
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Related Book For
Understanding Financial Accounting
ISBN: 9781119406921
2nd Canadian Edition
Authors: Christopher D. Burnley
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