Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Cash Flows from Operating Activities-Indirect Method Selected data (in thousands) derived from the income statement and balance sheet of National Beverage Corp. for a

image text in transcribedimage text in transcribed

Cash Flows from Operating Activities-Indirect Method Selected data (in thousands) derived from the income statement and balance sheet of National Beverage Corp. for a recent year are as follows: Income statement data: Net income $49,311 Gain on disposal of property 1,188 Depreciation expense. 11,580 Other items involving noncash expenses i 1,383 Balance sheet data: Increase in accounts receivable Decrease in inventory Increase in prepaid expenses 1,746 990 605 Decrease in accounts payable 710 Decrease in accrued and other current liabilities 995 a. Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method for National Beverage Corp. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Enter the amounts in thousands of dollars, as shown above. National Beverage Co. Cash Flows from Operating Activities Cash flows from operating activities: (in thousands) Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activities b. The company has) a(n) 000 00000 earnings and net cash flow from operating activities. The increase in accounts receivable indicates in sales. In addition, the company is using its cash to decrease its accounts payable balance, which indicates that the company is financially. Overall, National Beverage is doing D Previous Next

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Survey of Accounting

Authors: Thomas Edmonds, Christopher, Philip Olds, Frances McNair, Bor

4th edition

77862376, 978-0077862374

More Books

Students also viewed these Accounting questions

Question

91 What is the cost of capital?

Answered: 1 week ago