Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

E11-19A (similar to) Question Help The income statement and additional data of Newton Travel Products, Inc., folow: (Click the icon to view the income statement.)

image text in transcribed
image text in transcribed
image text in transcribed
E11-19A (similar to) Question Help The income statement and additional data of Newton Travel Products, Inc., folow: (Click the icon to view the income statement.) (Click the icon to view the additional data) Requirements 1. Prepare Newton's statement of cash flows for the year ended December 31, 2018, using the Indirect method. 2. Evaluate the company's cash flows for the year in your evaluation, mention all three categories of cash flows and give the rationale for your evaluation. Requirement 1. Prepare Newton's statement of cash flows for the year ended December 31, 2018, using the indirect method Start by completing the cash flows from operating activities. Then complete each section of the statement of cash flows, including the noncash investing and financing activities (Une parontheses or a minun sign for numbers to be subtracted and for a net decrease in cash.) Newton Travel Products, Inc. Statement of Cash Flows (Indirect Method) Year Ended December 31, 2018 Cash flows from operating activities Adjustments to reconcile not income to net cash provided by (used for) operating activities i i Data Table Newton Travel Products, Inc. Income Statement Year Ended December 31, 2018 Revenues: Service revenue $ 238,000 8,600 $ 246,600 98,000 Dividend revenue Expenses: Cost of goods sold Salary expense Depreciation expense Advertising expense 57,000 39,000 Interest expense 4,100 2,700 13,000 Income tax expense 213,800 Net income $ 32,800 Print Done Clear All i More Info atior Additional data: a. Acquisition of plant assets was $195,000. Of this amount, $140,000 was paid in cash and $55,000 was financed by signing a note payable. b. Proceeds from the sale of land totaled $79,000. c. Proceeds from the issuance of common stock totaled $33,000. d. Payment of a long-term note payable was $12,000. e. Payment of dividends was $11,000. f. From the balance sheets: the December 31, 2018 2017 Current assets: Cash $ $ 10,000 31,000 48,000 Accounts receivable Inventory Prepaid expenses 60,000 49,000 33,000 9,200 8,400 Current liabilities: Accounts pavable 39.000 $ 20.000 Print Done E11-19A (similar to) Question Help The income statement and additional data of Newton Travel Products, Inc., folow: (Click the icon to view the income statement.) (Click the icon to view the additional data) Requirements 1. Prepare Newton's statement of cash flows for the year ended December 31, 2018, using the Indirect method. 2. Evaluate the company's cash flows for the year in your evaluation, mention all three categories of cash flows and give the rationale for your evaluation. Requirement 1. Prepare Newton's statement of cash flows for the year ended December 31, 2018, using the indirect method Start by completing the cash flows from operating activities. Then complete each section of the statement of cash flows, including the noncash investing and financing activities (Une parontheses or a minun sign for numbers to be subtracted and for a net decrease in cash.) Newton Travel Products, Inc. Statement of Cash Flows (Indirect Method) Year Ended December 31, 2018 Cash flows from operating activities Adjustments to reconcile not income to net cash provided by (used for) operating activities i i Data Table Newton Travel Products, Inc. Income Statement Year Ended December 31, 2018 Revenues: Service revenue $ 238,000 8,600 $ 246,600 98,000 Dividend revenue Expenses: Cost of goods sold Salary expense Depreciation expense Advertising expense 57,000 39,000 Interest expense 4,100 2,700 13,000 Income tax expense 213,800 Net income $ 32,800 Print Done Clear All i More Info atior Additional data: a. Acquisition of plant assets was $195,000. Of this amount, $140,000 was paid in cash and $55,000 was financed by signing a note payable. b. Proceeds from the sale of land totaled $79,000. c. Proceeds from the issuance of common stock totaled $33,000. d. Payment of a long-term note payable was $12,000. e. Payment of dividends was $11,000. f. From the balance sheets: the December 31, 2018 2017 Current assets: Cash $ $ 10,000 31,000 48,000 Accounts receivable Inventory Prepaid expenses 60,000 49,000 33,000 9,200 8,400 Current liabilities: Accounts pavable 39.000 $ 20.000 Print Done

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

Horngrens Financial & Managerial Accounting, The Financial Chapters

Authors: Tracie Miller Nobles, Brenda Mattison

7th Edition

0136505279, 9780136505273

More Books

Students also viewed these Accounting questions

Question

Write a program to check an input year is leap or not.

Answered: 1 week ago

Question

Write short notes on departmentation.

Answered: 1 week ago

Question

What are the factors affecting organisation structure?

Answered: 1 week ago

Question

What are the features of Management?

Answered: 1 week ago

Question

Briefly explain the advantages of 'Management by Objectives'

Answered: 1 week ago

Question

=+a. Write two different, but related, headlines.

Answered: 1 week ago