Answered step by step
Verified Expert Solution
Question
1 Approved Answer
APIBIRA Condensed financial data of Oprah company appear below. 14 5 5 OPRAH COMPANY Comparative Balance Sheets December 31 Assets 2011 Cash $93.169 Accounts receivable
APIBIRA Condensed financial data of Oprah company appear below. 14 5 5 OPRAH COMPANY Comparative Balance Sheets December 31 Assets 2011 Cash $93.169 Accounts receivable 90,942 Inventories 122.125 Investments 84,350 plant assets 250.000 Accumulated depreciation 14945) Total $591 490 2010 $47.074 57,155 102.937 86,822 205,500 120-165 5459/324 9 9 10 11 12 13 4 5 6 Liabilities and Stockholders' Equity Accounts payable $ 57,434 Accrued expenses payable 12.140 Bonds payable 99,970 Common stock 245,500 Retained earnings 175,446 Total $592 490 $ 48,637 18.782 69,640 200,800 121.465 $459.324 - T 0 OPRAH COMPANY Income Statement For the Year Ended December 31, 2011 Sales Gain on sale of plant assets $297772 8,350 306,122 Cost of goods sold Operating expenses (excl. deprec. expense) Depreciation expense Income taxes Interest expense Net income $99.561 14,707 50,194 7,385 2.532 174 379 512743 Additional information: 1. New plant assets costing $91,470 were purchased for cash during the year. 2. Investments were sold at cost. 3. Plant assets costing $46,970 were sold for $15,183, resulting in gain of $ 9,425 4. A cash dividend of $76,762 was declared and paid during the year. Prepare a worksheet for the statement of cash flows using the Indirect method Enter the reconciling items directly in the worksheet columns H 6 Ref Balance 12/31/10 Ref 47.074 57.1551 102.937 86,822 205,500 499,488 Reconciling items Deba Credit 46,095 33,787 13.238 7 Balance Sheet Accounts 8 Cash 9 Accounts receivable 10 Inventories 11 Investments 12 Plant assets 3 Total 4 5 Credits 6 Aco dept.- Plant assets 7 Accounts payable B Accrued expenses payable Bonds payable Common stock Retained earrings Total Balance 12/3111 93,169 90.942 122 175 84,350 250.000 640.636 91.470 41212 6.642 40,164 48,637) 18,782 69,640 200.800 121.465 499,488 49.146 57,434 12.140 99,970 245.500 176.446 640,636 76,762 Statement of Cash Flow Effects Operating activities Net Income Depreciation expense Increase in accounts payable Increase in accounts receivable Increase in inventories Gain on sale of plant assets Decrease in accrued expenses payable Investing activities Sale of plant assets Sale of investments Purchase of plant assets Financing activities Sale of common stock Issuance of bonds Payment of dividends Totals ncrease in cash
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started