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7 Required information Part 2 of 2 7 points Check my Exercise 12-12 (Algo) Indirect: Preparing statement of cash flows LO P2, P3, A1 [The
7 Required information Part 2 of 2 7 points Check my Exercise 12-12 (Algo) 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. IKIBAN INCORPORATED Comparative Balance Sheets At June 30 Assets 2021 02:07:26 Cash Accounts receivable, net Inventory Prepaid expenses Total current assets eBook Hint Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Wages payable 2020 $ 94,300 98,000 $ 66,000 85,800 73,000 119,500 6,600 9,800 284,700 146,000 (38,000) 268,300 $ 392,700 $ 47,000 8,200 137,000 (20,000) $ 385,300 $ 63,000 19,400 Income taxes payable 5,600 8,200 Total current liabilities 60,800 90,600 Print Notes payable (long term) Total liabilities 52,000 82,000 112,800 172,600 Equity References Total liabilities and equity Common stock, $5 par value Retained earnings 264,000 182,000 15,900 30,700 $ 392,700 $ 385,300 Sales IKIBAN INCORPORATED Income Statement For Year Ended June 30, 2021 $ 788,000 433,000 355,000 89,000 Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense 80,600 185,400 4,200 189,600 46,090 Part 2 of 2 Gain on sale of equipment Income before taxes Income taxes expense Net income 7 points 02:07:19 eBook 4,200 189,600 46,090 $ 143,510 Additional Information a. A $30,000 notes 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 $79,600 cash. d. Received cash for the sale of equipment that had cost $70,600, yielding a $4,200 gain. e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement. f. All purchases and sales of inventory are on credit. Hint Exercise 12-12 (Algo) Part 2 (2) Compute the company's cash flow on total assets ratio for its fiscal year 2021. Print Cash Flow on Total Assets Ratio Choose Numerator: Choose Denominator: = Cash Flow on Total Assets Ratio References Operating cash flows Average total assets = Cash flow on total assets ratio 1 = 0
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