This list of items is to be included in the cash flow statement of the Brockman Lawn
Question:
This list of items is to be included in the cash flow statement of the Brockman Lawn Sprinklers Business for the current year:
a Payment for purchase of trenching equipment, \(\$ 6000\)
b Payments to suppliers, \(\$ 3200\)
c Receipt from sale of land, \(\$ 1000\)
d Collections from customers, \(\$ 15800\)
e Withdrawals by owner, \(\$ 2500\)
f Receipt from issuance of note payable, \(\$ 4000\)
g Payments to employees, \(\$ 5600\)
h Beginning cash balance, \(\$ 1200\).
Required:
Prepare the business' cash flow statement.
ii If net sales were \(\$ 69000\), calculate the business' operating cash flow margin.
Step by Step Answer:
Accounting Information For Business Decisions
ISBN: 9780170253703
2nd Edition
Authors: Billie Cunningham, Loren A. Nikolai, John Bazley, Marie Kavanagh, Geoff Slaughter, Sharelle Simmons