12-11

saved 13. ! Part 1 of 2 Required information Exercise 12-11 Indirect: Preparing statement of cash flows LO P2, P3, A1 The following information applies to the questions displayed below.] 1.07 points The following financial statements and additional information are reported. eBook IKIBAN INC. Comparative Balance Sheets June 30, 2019 and 2018 Hint 2019 2018 Print ferences Assets Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Equipment Accum. depreciation-Equipment Total assets Liabilities and Equity Accounts payable $ 92,500 $ 69,280 102,500 75,000 88,800 124,800 6,900 10,400 290,700 279,480 149,000 140,000 (39,500) (21,580) $400,200 $397,900 $ 50,000 $ 67,500 Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities Notes payable (long term) Total liabilities Equity Common stock, $5 par value Retained earnings Total liabilities and equity $ 50,000 8,500 5,990 64,400 55,000 119,400 $ 67,500 29,900 8,809 96,300 85,899 181,300 278,000 10,800 $400,200 185,800 31,600 $397,900 IKIBAN INC. Income Statement For Year Ended June 30, 2019 Sales Cost of goods sold Gross profit Operating expenses Depreciation expense $83,600 Other expenses 92,000 Total operating expenses $803,000 436,000 367,000 175,600 191,400 nthon coins (losses) Operating expenses Depreciation expense Other expenses Total operating expenses $83,600 92,000 175,600 191,400 Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense Net income 4,500 195,900 46,390 $149,510 Additional Information a. A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash. b. The only changes affecting retained earnings are net income and cash dividends paid. c. New equipment is acquired for $82,600 cash. d. Received cash for the sale of equipment that had cost $73,600, yielding a $4,500 gain. e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement. f. All purchases and sales of inventory are on credit. Exercise 12-11 Part 1 of 2 Required: (1) Prepare a statement of cash flows using the indirect method for the year ended June 30, 2019. (Amounts to be deducted should be indicated with a minus sign.) IKIBAN, INC. Statement of Cash Flows (Indirect Method) For Year Ended June 30, 2019 Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Required information Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities Cash flows from investing activities Cash flows from investing activities Cash flows from financing activities Net increase (decrease) in cash Cash balance at prior year-end of 2 Cash flows from financing activities Net increase (decrease) in cash Cash balance at prior year-end Cash balance at current year-end 13 ! Required information Part 1 of 2 Exercise 12-11 Indirect: Preparing statement of cash flows LO P2, P3, A1 The following information applies to the questions displayed below.] The following financial statements and additional information are reported. 07 pints IKIBAN INC. Comparative Balance Sheets June 30, 2019 and 2018 Skipped 2019 2018 eBook Hint Print Assets Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Equipment Accum. depreciation-Equipment Total assets Liabilities and Equity Accounts payable Wages payable $ 92,500 102,500 88,800 6,900 290, 700 149,000 (39,500) $400,200 $ 69,000 76,000 124,000 10,400 279,400 140,000 (21,500) $397,900 ferences $ 50,000 $ 67,500 13 Income taxes payable Total current liabilities Notes payable (long term) Total liabilities Equity Common stock, $5 par value Retained earnings Total liabilities and equity 5,900 64,400 55,000 119,400 8,800 96,300 85,000 181,300 Part 1 of 2 270,000 10,800 $400,200 185,000 31,600 $397,900 1.07 points Skipped IKIBAN INC. Income Statement For Year Ended June 30, 2019 Sales Cost of goods sold Gross profit Operating expenses Depreciation expense $83,600 Other expenses 92,000 Total operating expenses $803,000 436,000 367,000 eBook Hint Print 175,600 191,400 References Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense Net income 4,500 195,900 46,390 $149,510 13 Check my Additional Information Part 1 of 2 a. A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash. b. The only changes affecting retained earnings are net income and cash dividends paid. c. New equipment is acquired for $82,600 cash. d. Received cash for the sale of equipment that had cost $73,600, yielding a $4,500 gain. e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement. f. All purchases and sales of inventory are on credit. 27 ints Skipped Exercise 12-11 Part 1 eBook Hint Required: (1) Prepare a statement of cash flows using the indirect method for the year ended June 30, 2019. (Amounts to be deducted should be indicated with a minus sign.) Print cences IKIBAN, INC. Statement of Cash Flows (Indirect Method) For Year Ended June 30, 2019 och fl-...-------------- 13 Check my Exercise 12-11 Part 1 Part 1 of 2 Required: (1) Prepare a statement of cash flows using the indirect method for the year ended June 30, 2019. (Amounts to be deducted should be indicated with a minus sign.) 1.07 points Skipped IKIBAN, INC. Statement of Cash Flows (Indirect Method) For Year Ended June 30, 2019 Cash flows from operating activities eBook Hint Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Print eferences Changes in current operating assets and liabilities 13 Part 1 of 2 1.07 points $ 0 Cash flows from investing activities Skipped eBook Hint 0 Cash flows from financing activities Print References 13 $ Cash flows from investing activities Part 1 of 2 0 Cash flows from financing activities 7 ints Skipped 0 eBook $ 0 Hint Net increase (decrease) in cash Cash balance at prior year-end Cash balance at current year-end Print $ eferences