The accounting records for Best Way Lumber, Inc., for the year ended November 30, 2018, contain the
Question:
The accounting records for Best Way Lumber, Inc., for the year ended November 30, 2018, contain the following information:
a. Purchase of fixed assets, $88,400
b. Proceeds from issuance of common stock, $12,000
c. Payment of dividends, $45,400
d. Collection of interest, $8,000
e. Payments of salaries, $89,000
f. Proceeds from sale of fixed assets, $30,000
g. Collections from customers, $630,000
h. Cash receipt of dividend revenue, $5,500
i. Payments to suppliers, $372,300
j. Depreciation expense, $57,800
k. Proceeds from issuance of long-term notes payable, $40,000
l. Payments of long-term notes payable, $39,200
m. Interest expense and payments, $12,500
n. Income tax expense and payments, $39,400
o. Cash balance: November 30, 2017, $39,500; November 30, 2018, $78,800
Requirement
Prepare Best Way Lumber, Inc.’s statement of cash flows for the year ended November 30, 2018. Use the direct method for cash flows from operating activities.
DividendA dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
Step by Step Answer:
Best Way Lumber Inc Statement of Cash Flows Year Ended November 30 2018 Cash flows from o...View the full answer
