Che 1 Ravenna Company is a merchandiser that uses the indirect method to prepare the operating activities section of its statement of cash flows. Its balance sheet for this year is as follows: Part 1 of 15 Ending Balance $ 80,800 65,400 87,800 234,000 234,000 78,000 156,000 $ 390,000 Cash Accounts receivable Inventory Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Total assets Beginning Balance $ 96,800 70,400 80,000 247,200 224,000 56,000 168,000 $ 415, 200 0.33 points eBook Print References Accounts payable Income caxes payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity $ 51,200 39,800 96,000 112,000 91,000 $ 390,000 $ 91,000 51,200 80,000 96,000 97,000 $ 415,200 During the year, Ravenna paid a $9,600 cash dividend and it sold a piece of equipment for $4,800 that had originally cost $10,800 and had accumulated depreciation of $7,200. The company did not retire bonds or repu any of its own common stock during the year. Required: 1. What is the amount of the net increase or decrease in cash and cash equivalents that would be shown on the company's statement of cash flows? Net decrease in cash and cash equivalents $ 16,000 2 Required information [The following information applies to the questions displayed below. Part 2 of 15 Ravenna Company is a merchandiser that uses the indirect method to prepare the operating activities section of its statement of cash flows. Its balance sheet for this year is as follows: 0.33 points Cash eBook Accounts receivable Inventory Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Total assets Ending Balance $ 80,800 65,400 87,800 234,000 234,000 78,000 156,000 $ 390,000 Beginning Balance $ 96,800 70,400 80,000 247,200 224,000 56,000 168,000 $ 415,200 Print References Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity $ 51,200 39,800 96,000 112,000 91,000 $ 390,000 $ 91,000 51,200 80,000 96,000 97,000 $ 415,200 During the year, Ravenna paid a $9,600 cash dividend and it sold a piece of equipment for $4,800 that had originally cost $10,800 and had accumulated depreciation of $7,200. The company did not retire any bonds or repurchase any of its own common stock during the year. 2. What net income would the company include on its statement of cash flows? Net income $ 92,000 C 3 Required information (The following information applies to the questions displayed below.) Part 3 of 15 Ravenna Company is a merchandiser that uses the indirect method to prepare the operating activities section of its statement of cash flows. Its balance sheet for this year is as follows: 0.33 points Skipped Cash Accounts receivable Inventory Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Total assets Ending Balance $ 80,800 65,400 87,800 234,000 234,000 78,000 156,000 $ 390,000 Beginning Balance $ 96,800 70,400 80,000 247,200 224,000 56,000 168,000 $ 415, 200 eBook Print References Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity $ 51,200 39,800 96,000 112,000 91,000 $ 390,000 $ 91,000 51,200 80,000 96,000 97,000 $ 415,200 During the year, Ravenna paid a $9,600 cash dividend and it sold a piece of equipment for $4,800 that had originally cost $10,800 and had accumulated depreciation of $7,200. The company did not retire any bonds or repurchase any of its own common stock during the year. 3. How much depreciation would the company add to net income on its statement of cash flows? Depreciation 4 Retained earnings Total liabilities and stockholders' equity 91, UUU $ 390,000 91, VUU $ 415,200 Part 4 of 15 During the year, Ravenna paid a $9,600 cash dividend and it sold a piece of equipment for $4,800 that had originally cost $10,800 and had accumulated depreciation of $7,200. The company did not retire any bonds or repurchase any of its own common stock during the year. 0.33 points Skipped 4-a. If the company debited Accounts Receivable and credited Sales for $960,000 during the year, what is the total amount of credits recorded in Accounts Receivable during the year? 4-b. What does the amount of these credits represent? eBook Complete this question by entering your answers in the tabs below. Print References Reg 4A Req 4B What does the amount of these credits represent? Cash collections from customers O Payment to suppliers Credit sales Cash sales Total sales Credit sales Cash collected from customers Cash collected
