12 questions total in accounting cash flows. Please find attached.

1. Exercise 12-7B Cash flows from operating activities (direct) L.O. P5 BEKHAM COMPANY Income Statement For Year Ended December 31, 2011 2,408,00 Sales $ 0 Cost of 1,179,92 goods 0 sold Gross profit Operati ng expenses Salari es expense Depr eciation expense Rent expense Amort ization expenses Patents Utiliti es expense 1,228,08 0 $ 329,896 57,792 65,016 7,224 26,488 486,416 741,664 Gain on sale of equipme nt 9,632 Net income $ 751,296 Changes in current asset and current liability accounts for the year that relate to operations follow. Accounts receivable Merchandise inventory $ 21,900 increase 30,675 increase Accounts payable Salaries payable $10,650 decrease 1,250 decrease Use the above income statement and information about changes in noncash current assets and current liabilities to prepare only the cash provided or used by operating activities section of the statement of cash flows for this company using the direct method. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) Statement of Cash Flows Cash flows from operating activities $ Net cash operating activities $ 2. Roney Company's calendar-year 2011 income statement shows the following: Net Income, $471,000; Depreciation Expense, $58,404; Amortization Expense, $11,775; Gain on Sale of Plant Assets, $3,600. An examination of the company's current assets and current liabilities reveals the following changes (all from operating activities): Accounts Receivable decrease, $12,800; Merchandise Inventory decrease, $37,120; Prepaid Expenses increase, $3,800; Accounts Payable decrease, $9,500; Other Payables increase, $1,444. Use the indirect method to compute cash flow from operating activities. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) Statement of Cash Flows Cash flows from operating activities $ Adjustments to reconcile net income to net cash provided by operating activities Net cash operating activities $ 3. Exercise 12-6 Cash flows from operating activities (indirect) L.O. P2 BEKHAM COMPANY Income Statement For Year Ended December 31, 2011 1,961,00 Sales $ 0 Cost of goods 960,890 sold Gross profit Operati ng expenses Salari es expense Depr eciation expense Rent expense Amort ization expenses -Patents Utiliti es expense 1,000,110 $ 268,657 47,064 52,947 5,883 21,571 396,122 603,988 Gain on sale of equipme nt 7,844 Net income $ 611,832 Changes in current asset and current liability accounts for the year that relate to operations follow. Accounts receivable Merchandise inventory $ 23,950 increase 38,500 increase Accounts payable Salaries payable $11,575 decrease 2,550 decrease Use the above income statement and information about changes in noncash current assets and current liabilities to prepare only the cash flows from operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response) Statement of Cash Flows Cash flows from operating activities $ Adjustments to reconcile net income to net cash provided by operating activities Net cash operating activities $ 4. Oregon Company disclosed the following information for its recent calendar year. Revenues Expenses Salarie s expense Utilities expense Deprec iation expense Other expenses $ Net loss $ (56,600) $ 27,000 Accounts receivable decrease Purchase da machine Salaries payable increase 85,000 74,000 31,000 29,400 7,200 19,000 24,000 Other accrued liabilities decrease 13,000 Required: 1. Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted and loss amounts should be indicated with a minus sign. Omit the "$" sign in your response.) Statement of Cash Flows Cash flows from operating activitiesindirect method $ Net cash operating activities $ 5. a. Sold land costing $330,000 for $430,000 cash, yielding a gain of $30,000. b. Paid $112,000 cash for a new truck. Equipment with a book value of $81,000 and an original cost of $166,000 was sold at a loss of c. $31,000. d. Long-term investments in stock were sold for $94,900 cash, yielding a gain of $17,000. Use the above information to determine this company's cash flows from investing activities. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) Statement of Cash Flows Cash flows from investing activities $ Net cash investing activities 6. $ a. b. c. d. e. f. Net income was $466,000. Issued common stock for $70,000 cash. Paid cash dividend of $18,000. Paid $125,000 cash to settle a note payable at its $125,000 maturity value. Paid $117,000 cash to acquire its treasury stock. Purchased equipment for $86,000 cash. Use the above information to determine this company's cash flows from financing activities. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) Statement of Cash Flows Cash flows from financing activities $ Net cash financing activities $ 7. Cash and cash equivalents balance, December 31, 2010 Cash and cash equivalents balance, December 31, 2011 Cash received as interest Cash paid for salaries Bonds payable retired by issuing common stock (no gain or loss on retirement) Cash paid to retire long-term notes payable Cash received from sale of equipment Cash received in exchange for six-month note payable Land purchased by issuing long-term note payable Cash paid for store equipment Cash dividends paid Cash paid for other expenses Cash received from customers Cash paid for merchandise $ 19,000 53,428 1,900 55,100 145,000 95,000 46,550 19,000 84,100 18,050 11,400 30,400 368,600 191,672 Use the above information about the cash flows of Kansas Company to prepare a complete statement of cash flows (direct method) for the year ended December 31, 2011. Use a note disclosure for any noncash investing and financing activities. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) KANSAS COMPANY Statement of Cash Flows For Year Ended December 31, 2011 Cash flows from operating activities $ Net cash by operating activities Cash flows from investing activities $ Net cash in investing activities Cash flows from financing activities Net cash in financing activities $ Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year $ 8. Kazaam Company, a merchandiser, recently completed its calendar-year 2011 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. The company's balance sheets and income statement follow. KAZAAM COMPANY Comparative Balance Sheets December 31, 2011 and 2010 2011 Assets Cash Accounts receivable Merchandise inventory Prepaid expenses Equipment Accum. depreciation Equipment Total assets Liabilities $ 49,000 2010 $ 74,000 65,880 277,500 252,000 1,250 1,800 158,500 107,000 (36,875) $ 57,000 (46,000) 515,255 $ 445,800 and Equity Accounts payable Short-term notes payable Long-term notes payable Common stock, $5 par value Paid-in capital in excess of par, common stock Retained earnings $ 60,255 $ 10,000 48,750 156,000 147,000 27,000 0 194,500 $ 7,000 67,500 Total liabilities and equity 131,050 515,255 $ KAZAAM COMPANY Income Statement For Year Ended December 31, 2011 Sales Cost of goods sold Gross profit Operatin g expenses Depre ciation expense Other expenses Other gains (losses) Loss on sale of equipment Income before taxes Income taxes expense 112,000 $ 584,500 284,000 300,500 $ 20,000 134,000 154,000 5,750 140,750 23,000 445,800 Net income $ 117,750 Additional Information on Year 2011 Transactions a. The loss on the cash sale of equipment was $5,750 (details in b). b. Sold equipment costing $46,500, with accumulated depreciation of $29,125, for $11,625 cash. c. Purchased equipment costing $98,000 by paying $30,000 cash and signing a long-term note payable for the balance. d. Borrowed $3,000 cash by signing a short-term note payable. e. Paid $49,250 cash to reduce the long-term notes payable. f. Issued 1,800 shares of common stock for $20 cash per share. g. Declared and paid cash dividends of $54,300. Required: 1. Prepare a complete statement of cash flows; report its operating activities using the indirect method. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) KAZAAM COMPANY Statement of Cash Flows For Year Ended December 31, 2011 Cash flows from operating activities $ Adjustments to reconcile net income to net cash provided by operating activities: Net cash operating activities Cash flows from investing activities $ Net cash investing activities Cash flows from financing activities Net cash financing activities $ Cash balance at beginning of 2011 Cash balance at end of 2011 $ 9. Kazaam Company, a merchandiser, recently completed its calendar-year 2011 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. The company's balance sheets and income statement follow. KAZAAM COMPANY Comparative Balance Sheets December 31, 2011 and 2010 2011 Assets Cash Accounts receivable Merchandise inventory Prepaid expenses Equipment Accum. depreciation Equipment Total assets Liabilities and Equity Accounts payable Short-term notes payable Long-term notes payable Common stock, $5 par value Paid-in capital in excess of par, common stock Retained earnings Total liabilities and equity $ 49,800 2010 $ 74,000 65,850 59,000 277,000 252,500 1,250 1,900 159,000 107,000 (42,375) (52,000) $ 510,525 $ 442,400 $ 50,100 $ 111,000 12,000 62,500 48,000 162,750 151,000 35,250 0 187,925 $ 7,000 125,400 510,525 $ 442,400 KAZAAM COMPANY Income Statement For Year Ended December 31, 2011 Sales Cost of goods sold Gross profit Operatin g expenses Depre ciation expense Other expenses Other gains (losses) Loss on sale of equipment Income before taxes Income taxes expense Net income $ 583,500 281,000 302,500 $ 20,000 132,400 152,400 5,625 144,475 24,250 $ 120,225 Additional Information on Year 2011 Transactions a. The loss on the cash sale of equipment was $5,625 (details in b). b. Sold equipment costing $46,875, with accumulated depreciation of $29,625, for $11,625 cash. c. Purchased equipment costing $98,875 by paying $25,000 cash and signing a long-term note payable for the balance. d. Borrowed $5,000 cash by signing a short-term note payable. e. Paid $59,375 cash to reduce the long-term notes payable. f. Issued 2,350 shares of common stock for $20 cash per share. g. Declared and paid cash dividends of $57,700. Required: Prepare a complete statement of cash flows using a spreadsheet report its operating activities using the indirect method. (Leave no cells blank - be certain to enter "0" wherever required. Omit the "$" sign in your response.) a. b. c. d. e. f. g. Net income was $120,225. Accounts receivable increased. Merchandise inventory increased. Prepaid expenses decreased. Accounts payable decreased. Depreciation expense was $20,000. Sold equipment costing $46,875, with accumulated depreciation of $29,625, for $11,625 cash. This yielded a loss of $5,625. h. Purchased equipment costing $98,875 by paying $25,000 cash and (i.) by signing a long-term note payable for the balance. j. Borrowed $5,000 cash by signing a short-term note payable. k. Paid $59,375 cash to reduce the long-term notes payable. l. Issued 2,350 shares of common stock for $20 cash per share. m. Declared and paid cash dividends of $57,700. KAZAAM COMPANY Spreadsheet for Statement of Cash Flows For Year Ended December 31, 2011 Analysis of Changes December 31, 2010 Debit Credit Balance sheetdebit bal. accounts Cash Accounts receivable Merchandise inventory Prepaid expenses Equipment $ $ Balance sheetcredit bal. accounts Accum. depreciationEquip. Accounts payable Short-term notes payable Long-term notes payable Common stock, $5 par value Paid-in capital in excess of par value, common stock Retained earnings $ $ Statement of cash flows Operating activities Net income Increase in accts. receivable Increase in merch. inventory $ December 31, 2011 $ Decrease in prepaid expenses Decrease in accounts payable Depreciation expense Loss on sale of equipment Investing activities Receipt from sale of equipment Payment to purchase equipment Financing activities Borrowed on short-term note Payment on long-term note Issued common stock for cash Payments of cash dividends Noncash investing and financing activities Purchase of equip. financed by long-term note payable $ 10. Galley Corp., a merchandiser, recently completed its 2011 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The company's balance sheets and income statement follow. GALLEY CORPORATION Comparative Balance Sheets December 31, 2011 and 2010 2011 Assets Cash Accounts receivable Merchandise inventory Equipment Accum. depreciation Equipment Total assets Liabilities and Equity Accounts payable Income taxes payable Common stock, $2 $ 169,000 2010 $ 137,000 85,000 73,000 605,000 505,000 350,000 283,000 (158,000) (101,000) $ 1,051,000 $ 897,000 $ 142,000 $ 114,000 28,000 25,000 596,000 566,000 $ par value Paid-in capital in excess of par value, common stock Retained earnings 204,000 81,000 Total liabilities and equity $ 159,000 33,000 1,051,000 $ 897,000 GALLEY CORPORATION Income Statement For Year Ended December 31, 2011 Sales $ Cost of goods sold Gross profit Operatin g expenses Depre ciation expense Other expenses Income before taxes Income taxes expense Net income 1,795,000 1,087,000 708,000 $ 57,000 496,000 553,000 155,000 22,000 $ 133,000 Additional Information on Year 2011 Transactions a. Purchased equipment for $67,000 cash. b. Issued 15,000 shares of common stock for $5 cash per share. c. Declared and paid $85,000 in cash dividends. Required: Prepare a complete statement of cash flows; report its cash inflows and cash outflows from operating activities according to the indirect method. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) GALLEY CORPORATION Statement of Cash Flows For Year Ended December 31, 2011 Cash flows from operating activities $ Adjustments to reconcile net income to net cash provided by operating activities: Net cash operating activities Cash flows from investing activities $ Cash flows from financing activities Net cash financing activities $ Cash balance at beginning of 2011 Cash balance at end of 2011 $ 11. Galley Corp., a merchandiser, recently completed its 2011 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The company's balance sheets and income statement follow. GALLEY CORPORATION Comparative Balance Sheets December 31, 2011 and 2010 2011 Assets Cash Accounts receivable Merchandise inventory Equipment Accum. depreciation Equipment $ 215,726 2010 $ 121,590 92,355 83,955 635,840 555,840 402,765 309,765 (162,650) (106,150) Total assets $ $ 965,000 $ Liabilities and Equity Accounts payable Income taxes payable Common stock, $2 par value Paid-in capital in excess of par value, common stock Retained earnings 1,184,036 127,790 $ 63,690 28,390 600,400 168,875 199,081 $ 566,400 228,375 Total liabilities and equity 25,090 140,945 1,184,036 $ GALLEY CORPORATION Income Statement For Year Ended December 31, 2011 Sales $ Cost of goods sold Gross profit Operatin g expenses Depre ciation expense Other expenses Income before taxes Income taxes expense Net income 1,949,000 1,208,380 740,620 $ 56,500 506,311 562,811 177,809 34,673 $ 143,136 965,000 Additional Information on Year 2011 Transactions a. Purchased equipment for $93,000 cash. b. Issued 17,000 shares of common stock for $5.50 cash per share. c. Declared and paid $85,000 in cash dividends. Required: Prepare a complete statement of cash flows using a spreadsheet; report operating activities under the indirect method. (Leave no cells blank - be certain to enter "0" wherever required. Omit the "$" sign in your response.) a. b. c. d. e. f. g. h. i. Net income was $143,136. Accounts receivable increased. Merchandise inventory increased. Accounts payable decreased. Income taxes payable increased. Depreciation expense was $56,500. Purchased equipment for $93,000 cash. Issued 17,000 shares at $5.50 cash per share. Declared and paid $85,000 of cash dividends. GALLEY CORPORATION Spreadsheet for Statement of Cash Flows For Year Ended December 31, 2011 Analysis of Changes December 31, 2010 Debit Credit Balance sheetdebit bal. accounts Cash Accounts receivable Merchandise inventory Equipment $ $ Balance sheetcredit bal. accounts Accum. depreciationEquip Accounts payable Income taxes payable Common stock, $2 par value Paid-in excess of par value, common stock Retained earnings $ $ Statement of cash flows Operating activities Net income Increase in accounts receivable Increase in merch. inventory Decrease in accounts payable $ December 31, 2011 $ Increase in income tax payable Depreciation expense Investing activities Payment for equipment Financing activities Issued common stock for cash Paid cash dividends $ $ 12. Rapture Company's 2011 income statement and selected balance sheet data at December 31, 2010 and 2011. RAPTURE COMPANY Income Statement For Year Ended December 31, 2011 Sale 62,00 s $ 0,000 reven ue Expe nses Co 21,00 st of 0,000 goods sold De precia 4,500, tion 000 expen se Sal 11,00 aries 0,000 expen se Re nt 3,000, expen 000 se Ins uranc 1,800, e 000 expen se Int erest 1,900, expen 000 se Util ities expen se Net incom e 1,400, 000 17,40 $ 0,000 RAPTURE COMPANY Selected Balance Sheet Accounts At December 31 2011 2010 390,00 400,00 Accounts receivable $ $ 0 0 Inventory 86,000 68,000 123,00 Accounts payable 116,000 0 Salaries payable 48,000 34,000 Utilities payable 11,000 8,000 Prepaid insurance 15,000 16,000 Prepaid rent 9,000 12,000 Required: Prepare the cash flows from operating activities section only of the company's 2011 statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) RAPTURE COMPANY Cash Flows from Operating ActivitiesIndirect Method For Year Ended December 31, 2011 Cash flows from operating activities $ Adjustments to reconcile net income to net cash provided by operating activities $ Net cash operating activities $