1) In preparing a company's statement of cash flows for the most recent year on the indirect method, the following information is available:

Net income for the year was $ 55,500
Accounts payable decreased by 21,500
Accounts receivable decreased by 28,500
Inventories increased by 8,500
Cash dividends paid were 14,700
Depreciation expense was 33,500

Net cash provided by operating activities was:

A) $33,500

B) $87,500

C) $130,500

D) $72,800

E) $47,500

2) Beewell's net income for the year ended December 31, Year 2 was $197,000. Information from Beewell's comparative balance sheets is given below. Compute the cash received from the sale of its common stock during Year 2.

At December 31 Year 2 Year 1
Common Stock, $5 par value $ 512,000 $ 460,800
Paid-in capital in excess of par 960,000 863,800
Retained earnings 700,000 592,800

A) $ 96,200

B) $51,200

C) $147,400

D) $197,000

E) $107,200

3) Sebring Company reports depreciation expense of $57,000 for Year 2. Also, equipment costing $191,000 was sold for a $6,700 gain in Year 2. The following selected information is available for Sebring Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.

At December 31 Year 2 Year 1
Equipment $ 695,000 $ 886,000
Accumulated Depreciation-Equipment 496,000 585,000

A) $45,000

B) $51,700

C) $57,000

D)$ 38,300

E)$ 102,000

4) Castine reports net income of $325,000 for the year ended December 31, Year 2. It also reports $104,100 depreciation expense and a $11,200 loss on the sale of equipment. Its comparative balance sheet reveals a $45,000 increase in accounts receivable, a $11,400 decrease in prepaid expenses, a $17,200 increase in accounts payable, a $14,100 decrease in wages payable, a $83,800 increase in equipment, and a $112,000 decrease in notes payable. Calculate the increase in cash for Year 2.

A) $326,000

B) $214,000

C) $297,800

D) $225,200

E) $ 409, 800

5) Use the following information to calculate cash received from dividends:

Dividends revenue	$ 33,800
Dividends receivable, January 1	3,400
Dividends receivable, December 31	5,000

A) $ 33,800

B) $37, 200

C) $28,800

D) $35,400

E) $ 32,200

6) The accountant for Robinson Company is preparing the company's statement of cash flows for the fiscal year just ended. The following information is available:

Retained earnings balance at the beginning of the year	$ 163,000
Cash dividends declared for the year	53,000
Proceeds from the sale of equipment	88,000
Gain on the sale of equipment	8,400
Cash dividends payable at the beginning of the year	25,000
Cash dividends payable at the end of the year	48,400
Net income for the year	99,000

What is the ending balance for retained earnings?

A) $266,600

B) $209,000

C) $262,000

D) $290,000

E) $ 188,000

7) Analysis reveals that a company had a net decrease in cash of $5,000 for the current year. Net cash provided by operating activities was $19,000; net cash used in investing activities was $11,000 and net cash used in financing activities was $13,000. If the year-end cash balance is $26,000, the beginning cash balance was:

A) $45,000

B) $7,000

C) $21,000

D) $ 31,000

E) $12,0000

8) Sebring Company reports depreciation expense of $56,000 for Year 2. Also, equipment costing $189,000 was sold for its book value in Year 2. The following selected information is available for Sebring Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.

At December 31 Year 2 Year 1
Equipment $ 690,000 $ 879,000
Accumulated Depreciation-Equipment 493,000 580,000

A) $87,000

B) $43,500

C) $102,000

D) $46,000

E) $56,000

9) Use the following information and the indirect method to calculate the net cash provided or used by operating activities:

Net income	$ 13,700
Depreciation expense	13,400
Payment on mortgage payable	16,400
Gain on sale of land	6,900
Increase in merchandise inventory	3,450
Increase in accounts payable	7,550
Proceeds from sale of land	8,700

A) $15,600

B) $16,600

C) $38,100

D) $24,300

E) $ 31,200

10) Woodlawn Company is preparing the company's statement of cash flows for the fiscal year just ended. The following information is available:

Retained earnings balance at the beginning of the year	$ 248,000
Cash dividends declared for the year	53,750
Proceeds from the sale of equipment	91,600
Gain on the sale of equipment	4,950
Cash dividends payable at the beginning of the year	23,650
Cash dividends payable at the end of the year	31,500
Net income for the year	118,250

The amount of cash paid for dividends was:

A) $63,100

B) $64,500

C) $53, 750

D) $45,900

E) $55,150