Question
Condensed financial data of Bing Company appear below: BING COMPANY Comparative Balance Sheet December 31 2017 2016 Assets Cash $ 70,000 $ 35,000 Accounts receivable
Condensed financial data of Bing Company appear below:
BING COMPANY
Comparative Balance Sheet
December 31
2017 2016
Assets
Cash $ 70,000 $ 35,000
Accounts receivable 82,000 53,000
Inventories 120,000 132,000
Prepaid expenses 19,000 25,000
Investments 80,000 65,000
Plant assets 310,000 250,000
Accumulated depreciation (65,000) (60,000)
Total $616,000 $500,000
Liabilities and Stockholders' Equity
Accounts payable $ 95,000 $ 75,000
Accrued expenses payable 22,000 24,000
Bonds payable 120,000 150,000
Common stock 245,000 170,000
Retained earnings 134,000 81,000
Total $616,000 $500,000
BING COMPANY
Income Statement
For the Year Ended December 31, 2017
Sales $480,000
Less:
Cost of goods sold $290,000
Operating expenses (includes depreciation expense) 77,000
Income taxes 15,000
Interest expense 13,000
Loss on sale of plant assets 3,000 398,000
Net income $ 82,000
Additional information:
1. Old plant assets costing $25,000 were sold when book value was $13,000.
2. Bonds with a face value of $30,000 were converted into $30,000 of common stock.
BING COMPANY
Statement of Cash Flows
For the Year Ended December 31, 2017
Cash flows from operating activities
Net cash ______________ operating activities
Cash flows from investing activities
Net cash ______________ investing activities
Cash flows from financing activities
Net cash _______________ financing activities
Net ___________ in cash
Cash at beginning of period
Cash at end of period
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