Question
Create a statement of cash flow using the inderect method NoName Company Income Statement For the Year-Ended December 31, 2015 Sales $ 2,430,000.00 COGS $
Create a statement of cash flow using the inderect method NoName Company | |||
Income Statement | |||
For the Year-Ended December 31, 2015 | |||
Sales | $ 2,430,000.00 | ||
COGS | $ 1,565,000.00 | ||
Gross profit | $ 865,000.00 | ||
Operating expenses: | |||
Depreciation expense | $ 16,000.00 | ||
Other operating expenses | $ 598,000.00 | ||
Total operating expenses | $ 614,000.00 | ||
Income from operations: | |||
Other income: | |||
Gain on sale of investments | $ 6,500.00 | ||
Other expenses: | |||
Interest expense | $ 17,000.00 | ||
Income before income tax | $ 240,500.00 | ||
Income tax expense | $ 63,000.00 | ||
Net income | $ 177,500.00 | ||
NoName Company | |||
Comparative Balance Sheet | |||
December 31, 2015 | |||
2015 | 2014 | ||
Assets | |||
Current Assets: | |||
Cash | $ 184,420.00 | $ 25,740.00 | |
Accounts Receivable | $ 68,700.00 | $ 83,000.00 | |
Inventories | $ 134,500.00 | $ 128,000.00 | |
Prepaid insurance | $ 2,980.00 | $ 4,560.00 | |
Property, Plant, Equiment: | |||
Investments (long term) | $ 211,000.00 | $ 120,000.00 | |
Land | $ 208,500.00 | $ 255,000.00 | |
Equipment | $ 203,000.00 | $ 203,000.00 | |
Accumulated depreciation-Equipment | $ (117,500.00) | $ (101,500.00) | |
Total Assets | $ 895,600.00 | $ 717,800.00 | |
Liabiities and Stockholder's Equity | |||
Current Liabilties: | |||
Accounts Payable | $ 26,500.00 | $ 81,000.00 | |
Interest payable | $ 3,400.00 | $ 2,300.00 | |
Income taxes payable | $ 30,200.00 | $ 32,500.00 | |
Longterm Liabilties: | |||
Notes Payable | $ 255,000.00 | $ 242,000.00 | |
Stockholder's Equity: | |||
Common Stock | $ 273,000.00 | $ 230,000.00 | |
Retained earnings | $ 307,500.00 | $ 130,000.00 | |
Total Liabilities and Stockholder's equity | $ 895,600.00 | $ 717,800.00 | |
Additional Notes: |
Assume that all increases and decreases in long-term assets, long term liabilities, and common stock are a result of cash transactions |
Land costing $46,500 was sold, resulting in a gain of $6,500. No other long term assets were sold |
Additional long term investments were purchased |
An additional long term note payable was signed, No repayment on notes were made |
Additional common stock were issued |
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