Refer to the information reported about Prius Company in Problem 12-4B. Required Prepare a complete statement of

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Refer to the information reported about Prius Company in Problem 12-4B.
Required
Prepare a complete statement of cash flows using a spreadsheet as in Exhibit 12A.1; report operating activities under the indirect method. Identify the debits and credits in the Analysis of Changes columns with letters that correspond to the following list of transactions and events.
a. Net income was $132,000.
b. Accounts receivable increased.
c. Merchandise inventory increased.
d. Accounts payable increased.
e. Income taxes payable increased.
f. Depreciation expense was $55,000.
g. Purchased equipment for $74,000 cash.
h. Issued 10,000 shares at $5 cash per share.
i. Declared and paid $85,000 of cash dividends.

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...
Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
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Managerial Accounting

ISBN: 978-0073379586

2010 Edition

Authors: John J. Wild, Ken W. Shaw

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