Deriving cash flows from financial statement data; comprehensive review including other comprehensive income. Exhibit 15.22 presents financial data, including a partial statement of cash flows, for LKR Company for the year. Fill in the numbers in the statement of cash flows. Then respond to the following questions. Use positive numbers for cash inflows (receipts) and negative numbers for cash outflows (expenditures).
a. What were the proceeds of sale of the old Buildings and Equipment?
b. What were the proceeds of sale of the Securities Available for Sale?
c. What were the purchases during the year of new Securities Available for Sale?
d. During the year, the market value of the Securities Available for Sale changed while LKR held them. By how much did the aggregate market value increase or decrease? Give the amount and whether increase or decrease.
e. What dividends, if any, did LKR receive from its 40%-owned affiliate?
f. What was the net income, if any, of the 90% owned subsidiary?
g. What was the amount of expenditure for the year for warranty service, repairs, and replacements?
h. What was the amount of accounts receivable LKR wrote off as uncollectible during the year?
i. What was the total depreciation deduction LKR claimed on its income tax return for the year?
j. What were total cash dividends LKR paid during the year?
k. What was total cash flow for or from Financing activities for the year?
l. What was total cash flow for or from Investing activities for the year?
m. What total cash flow for or from Operations for the year?
ii. What were the total receipts from customers for the year?
o. What were the total expenditures for inventory during the year?
p. What were the total expenditures for income taxes during the year?
q. Did LKR use a LIFO or a FIFO cost-flow assumption for the year?
r. By what amount would LKR€™s pretax income for the year have changed if LKR had used the other cost-flow assumption? Give the amount and whether larger or smaller.
s. By the end of the year, what was LKR€™s total unrealized holding gain on inventory?
t. Refer to the total unrealized holding gain in the preceding question. In which of the following is that gain more likely reflected in the statements for the current year?
A. Other Comprehensive Income
B. Accumulated Other Comprehensive Income
C. Net Income
D. Retained Earnings
E. None of theabove

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LKR Company EXHIBIT 15.22 Statement of Earnings and Comprehensive Income (Problem 18) For Year Statement of Cash Flows. For Year $ 1,500,000 Cash Flow from Operations. Investing/Disinveating: Ravonues .. Gain an Sale of Socurities Available for Sale 3,300 Gain on Sale of Buildings and Equipmert . Equity in Earmings of Affliats (Purchasa) of Socurities Available for Sale [2] 23,000 Procoads of Salling 1,600 Expersas: Sale of Securities Available for Sala Cost of Goods Sold $788,000 (Purchase) of Land -.. [0] [5] Wages and Salarias Dapreciation Bad Debt Expansa . Warranty Expense Sale of Old Buidings and Equipmant . (Purchase) of Now Buildings and Equipment Financing: Increase (Docroasa) Long-Term Dabt Incraase (Dacrease) Conmon Shares Cash Dividands (Paid) 280,000 54,000 125,000 34,000 Interest 12,000 Incoma Taves (Curront) 90,400 Miut Change in Cash. Cash, Baginning of Yaar Income Taves (Deforred) 1,600 $13,000 Total Expansas . Nomcontrolling Interest in Subsidiary's Earnings Earnings .. Other Comprehensive Income Comprehensive Incame.. (1,385,000) 52.000 (1,100) $ 141,800 7,000 Cash, End of Year $45,000 $ 148,B00