B C D E Name F HT Lab #10 - Chapter 12 Statement of Cash Flows Instructions: 1. Calculate the year-over-year difference in column D, then whether the change was an "increase" or "decrease" (see Cash example). 2. Using the Indirect Method for Operating Activities, complete the Statement of Cash Flows at the bottom of the file. 5 - Additional Data: Assume all transactions are for cash unless otherwise noted. Equipment in PPE is sold for $8200 cash. No purchases of PPE are made. 0 Cost of equipment sold: 10,000 1 Accumulated depreciation on equipment sold 5,000 2 Dividends declared and paid in current year 9,300 4 Balance Sheets as of Dec. 31st Income statement Current Previous Difference Increase or Year Year Decrease? Sales Revenue Cost of goods sold Gross Margin Current Year 270,000 145,000 125,000 14,000 increase 6 Assets 7 Current Assets 8 Cash 9 Accounts Receivable 0 Interest Receivable 1 Merchandise Inventory 2 Prepaid Rent 3 Total current assets 36,000 23,000 50,000 38,000 0 65,000 12,000 165,000 100 48,000 11.000 118,100 78,000 14,000 6,200 20,000 118,200 6,800 5 Long-term Assets 6 Notes Receivable (nontrade) 7 Property, Plant & Equipment (PPE) 8 Less: Accumulated Depreciation 9 Total long-term assets Operating expenses Salaries expense Rent expense Insurance expense Depreciation expense Total expenses Income from operations Other revenue/expense Plus: Gain on sale of Equipment (PPE) Plus: interest revenue Less: Interest expense Total Net Income 0 7,500 90,000 100,000 (35,000) (20,000) 55,00087,500 3,200 200 600 2,800 9,600 1 Total Assets 220,000 205,600 3 Liabilities and Shareholder's Equity 4 Current Liabilities 5 Accounts Payable - merchandise suppliers 6 Salaries Payable 7 Unearned Revenue 8 Interest payable 9 Total current liabilities 20,000 5,800 8,100 600 34,500 18,000 2,100 12,500 200 32,800 3,700 5,500 9.200 43,700 21,300 0 21,300 54,100 1 Long-term liabilities 2 Notes Payable (due in 5 years) 3 Bonds Payable (due in 10 years) 4 Total long-term liabilities 5 Total liabilities 6 Shareholder's equity 7 Common stock $10 par 8 Additional Paid in Capital 9 Retained Earnings Total stockholder's equity 1 Total Liabilities plus stockholder's equity 64,500 100,000 11,800 176,300 220,000 50,000 90,000 11.500 151,500 205,600 53 54 Good Student Company 55 Statement of Cash Flow (Indirect Method) 56 December 31, 20XX 57 Operating Activities: 58 59 60 61 63 64 65 66 67 68 69 70 71 Net Cash Flow from Operating Activities 72 73 Investing Activities: 74 75 76 77 Net Cash Flow from Investing Activities 78 79 Financing Activities: 80 81 82 83 84 85 Net Cash Flow from Financing Activities 86 87 Reconciliation: 88 Net Change in Cash 89 Add: Beginning Cash Balance 90 Ending Cash Balance 91
