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1. Using an indirect approach for preparing a statement of cash flows, which of the following must be reported as supplemental information? A. Cash paid
1. Using an indirect approach for preparing a statement of cash flows, which of the following must be reported as supplemental information?
A. Cash paid for interest
B. Noncash investing/financial activities
C. None of these
D. All of these (except none of these)
E. Cash paid for taxes.
2. Zhang had net income of $3,000,000. Depreciation was $500,000, purchases of plant assets were $250,000, and disposals of plant assets for $100,000 resulted in a $50,000 gain. Stock was issued in exchange for an outstanding note payable of $125,000. Accounts receivable decreased by $25,000. Accounts payable decreased by $40,000. Dividends of $30,000 were paid to shareholders. Zhang had interest expense of $5,000. Based on this information, how much was Zhang's cash from financing activities?
3. The following financial information is available for Masters Corporation for 20X5: Current Assets (end of year / beginning of year) $96,000 / $60,000 Current Liabilities (end of year / beginning of year) $76,000 / $42,000 Inventory (average / end of year) $26,000 / $30,000 Accounts Receivable (average / end of year) $45,000 / $40,000 Sales ($10,000 cash sales included) $400,000 Cost of Goods Sold $260,000 Cash (end of year) $26,000 What is the inventory turnover ratio?
4. If the beginning and ending Work-in-Process Inventories are $90,000 and $82,000 respectively, and the Cost of Goods Manufactured is $820,000, what are the total manufacturing costs incurred during the period?
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