Calculate cash flow statements

1. What is the amount of cash collected from the

customers? 2. What is the amount of cash paid to suppliers?

3. What is the cash paid for operating expenses? 4. What is the cash paid for interest expense?

5. Prepare the operating activities section using the indirect method.

6. Prepare a statement of cash flows using the direct method.

$100,000 Income Statement for 20x7 Sales Expense Cost of goods sold Wages Depreciation Interest Total Expense Income from cotinuing operations Gain from sale of land Pretax income Provision for taxes Net Income Common Dividends declared 40000 5000 7000 500 $52,000 $47,500 10000 57500 20000 37500 8500 Balance Sheet for 20x7 20x6 Assets Current Assets Cash 33000 Accounts Receivable Inventory 10000 5000 9000 9000 7000 40000 Non current assets Land Gross plant and equipment Less: Depreciation Net Plant and Equipment Goodwill 35000 85000 - 16000 60000 -9000 51000 69000 10000 10000 Total Assets 162,000 126,000 9000 5000 4500 8000 Liabilities Current Liabilities Accounts Payable Wages Payable Interest Payable Taxes payable Dividends payable Total current liabilities 3000 3500 5000 4000 6000 1000 28000 21000 15000 10000 Non Current Liabilities Bonds Deferred Tax liability Total Liabilities 15000 20000 63000 46000 Stockholders equity Common Stock Retained earnings Total Equity total liabilities and equity 40000 50000 59000 30000 99000 80000 162,000 126,000