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Do not enter dollar signs or commas in the input boxes. Use the negative sign for a decrease in cash. Galaxy Inc. Cash Flow Statement
Do not enter dollar signs or commas in the input boxes. Use the negative sign for a decrease in cash. Galaxy Inc. Cash Flow Statement For the Year Ended September 30, 2018 Cash Flow from Operations Net Income Adjustments to reconcile Net Income to Cash Depreciation Expense Change in Operating Assets and Liabilities Decrease in Accounts Receivable Increase in Prepaid Expenses Increase in Merchandise Inventory Net Cash Provided (Used) by Operating Activities Cash Flow from Investing Activities Purchase of Equipment Net Cash Provided (Used) by Investing Activities Cash Flow from Financing Activities Issuance of Stock Repayment of Long-Term Liabilities Net Cash Provided (Used) by Financing Activities Net Increase (Decrease) in Cash Cash at the Beginning of the Year Cash at the End of the Year A simplified balance sheet for Galaxy Inc. contain the following amounts at the end of 2017 and 2018. Galaxy Inc. Balance Sheet As at September 30 2018 2017 Assets Current Assets Cash $39,500 $9,000 Accounts Receivable $11,200 $11,900 Prepaid Expenses $3,200 $1,900 Merchandise Inventory $27,400 $14,400 Total Current Assets $81,300 $37,200 Noncurrent Assets Equipment $182,000 $161,000 Less: Accumulated Depreciation $-28,500 $-16,400 Total Noncurrent Assets $153,500 $144,600 Total Assets $234,800 $ 181,800 Liabilities Current Liabilities Long-Term Liabilities Total Liabilities $16,300 $16,300 $25,000 $42,000 $41,300 $58,300 Stockholders' Equity Paid-In Capital Preferred Stock Common Stock Additional Paid-In Capital Total Paid-In Capital Retained Earnings Total Stockholders' Equity Total Liabilities and Equity $74,000 $46,000 $35,000 $18,000 $4,000 $113,000 $64,000 $80,500 $59,500 $193,500 $123,500 $234,800 $181,800 Assume current liabilities include only items from operations (e.g., accounts payable, taxes payable). Long-term liabilities include items from financing (e.g. bonds and other long-term liabilities). Note that the company did not sell any equipment and did not borrow any additional long-term liabilities throughout the year. Prepare the cash flow statement for 2018 using the indirect method. Assume no dividends were declared or paid in 2018. Do not enter dollar signs or commas in the input boxes
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