E17-13 Consider three independent cash-flow situations for Calico Textile Company: Case 1 Case 2 Case 3 Cash

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E17-13 Consider three independent cash-flow situations for Calico Textile Company: Case 1 Case 2 Case 3 Cash flows from operating activities: Depreciation and amortization Net income Increase in current assets: Decrease in current liabilities Cash flows from investing activities: Acquisition of plant assets Sale of plant assets... $ 30,000 11,000 (19,000) (6.000) $ 16,000 $(91.000) 97,000 $ 30,000 11.000 $ 30.000 (7,000) (8,000) $ 26,000 $(91.000) 4.000 $187,000) 11.000 (1,000) -0- $ 40.000 $(91.000) 8,000 $ (83,000) $ 50,000 (9,000) $ 6,000 Cash flows from financing activities: Net borrowing... $ 16,000 Payment of debt. (21.000) $104.000 (29.000) $ (5,000) $ 75.000 Increase (decrease) in cash. $ 17,000 $ 14,000 $ (2.000) $ 41.000 For each case, use the cash-flow statement to identify how Calico Textile Company generated the cash to acquire new plant assets.

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Accounting

ISBN: 9780130906991

5th Edition

Authors: Charles T. Horngren, Walter T. Harrison, Linda S. Bamber, Betsy Willis, Becky Jones

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