Exercise 13-5

The current sections of Scoggin Inc.?s balance sheets at December 31, 2016 and 2017, are presented here.

Scoggin?s net income for 2017 was $153,000. Depreciation expense was $24,000.

2017	2016
Current assets
Cash	$105,000	$99,000
Accounts receivable	110,000	89,000
Inventory	158,000	172,000
Prepaid expenses	27,000	22,000
Total current assets	$400,000	$382,000
Current liabilities
Accrued expenses payable	$15,000	$5,000
Accounts payable	85,000	92,000
Total current liabilities	$100,000	$97,000

Prepare the net cash provided by operating activities section of the company?s statement of cash flows for the year ended December 31, 2017, using the indirect method.(Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

SCOGGIN INC. Partial Statement of Cash Flows December 31, 2017For the Year Ended December 31, 2017For the Month Ended December 31, 2017
Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash Used by Financing ActivitiesNet Cash Used by Investing ActivitiesNet Cash Used by Operating ActivitiesNet Decrease in CashNet Increase in Cash
Decrease in InventoryIncrease in Accounts PayableDecrease in Accounts ReceivableDecrease in Accounts PayableNet IncomeIncrease in Accrued Expenses PayableDecrease in Accrued Expenses PayableDepreciation ExpenseIncrease in InventoryIncrease in Prepaid ExpensesDecrease in Prepaid ExpensesIncrease in Accounts Receivable	$
Adjustments to reconcile net income to
Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash Used by Financing ActivitiesNet Cash Used by Investing ActivitiesNet Cash Used by Operating ActivitiesNet Decrease in CashNet Increase in Cash
Decrease in Accrued Expenses PayableIncrease in Accounts ReceivableIncrease in Prepaid ExpensesDepreciation ExpenseDecrease in Accounts PayableDecrease in Prepaid ExpensesIncrease in InventoryIncrease in Accrued Expenses PayableNet IncomeDecrease in Accounts ReceivableIncrease in Accounts PayableDecrease in Inventory	$
Increase in InventoryIncrease in Accounts ReceivableDecrease in Accounts ReceivableDecrease in Accrued Expenses PayableIncrease in Prepaid ExpensesNet IncomeIncrease in Accounts PayableDecrease in Prepaid ExpensesDepreciation ExpenseDecrease in InventoryIncrease in Accrued Expenses PayableDecrease in Accounts Payable
Increase in Accounts PayableDecrease in InventoryIncrease in Accrued Expenses PayableDepreciation ExpenseDecrease in Accounts ReceivableDecrease in Accrued Expenses PayableIncrease in Accounts ReceivableDecrease in Accounts PayableIncrease in InventoryIncrease in Prepaid ExpensesDecrease in Prepaid ExpensesNet Income
Depreciation ExpenseIncrease in Accrued Expenses PayableDecrease in Accounts ReceivableDecrease in Accrued Expenses PayableIncrease in Prepaid ExpensesIncrease in Accounts ReceivableDecrease in Accounts PayableIncrease in Accounts PayableNet IncomeDecrease in InventoryIncrease in InventoryDecrease in Prepaid Expenses
Net IncomeDepreciation ExpenseDecrease in InventoryDecrease in Accrued Expenses PayableIncrease in InventoryIncrease in Prepaid ExpensesIncrease in Accrued Expenses PayableDecrease in Prepaid ExpensesIncrease in Accounts PayableDecrease in Accounts PayableIncrease in Accounts ReceivableDecrease in Accounts Receivable
Increase in Accounts ReceivableDecrease in InventoryIncrease in InventoryIncrease in Accrued Expenses PayableDecrease in Accrued Expenses PayableDepreciation ExpenseIncrease in Prepaid ExpensesDecrease in Accounts ReceivableDecrease in Prepaid ExpensesDecrease in Accounts PayableIncrease in Accounts PayableNet Income
Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash Used by Financing ActivitiesNet Cash Used by Investing ActivitiesNet Cash Used by Operating ActivitiesNet Decrease in CashNet Increase in Cash	$

Print by: MICHAEL COLAJEZZI Maloney Acct 105 N O5 / Optional test 2 ch 13 *Exercise 13-5 The current sections of Scoggin Inc.'s balance sheets at December 31, 2016 and 2017, are presented here. Scoggin's net income for 2017 was $153,000. Depreciation expense was $24,000. 2017 2016 Current assets Cash Accounts receivable Inventory Prepaid expenses Total current assets $105,000 $99,000 110,000 89,000 158,000 172,000 27,000 22,000 $400,000 $382,000 $15,000 $5,000 85,000 92,000 $100,000 $97,000 Current liabilities Accrued expenses payable Accounts payable Total current liabilities Prepare the net cash provided by operating activities section of the company's statement of cash flows for the year ended December 31, 2017, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) SCOGGIN INC. Warning Partial Statement of Cash Flows Don't show me this message again for the assign Ok $ Adjustments to reconcile net income to $ Cancel Question Attempts: 0 of 3 used $ Copyright 2000-2016 by John Wiley & Sons, Inc. or related companies. All rights reserved. Object 1 How can we help you? powered by Live Chat