Question
Exercise 17-5 The current sections of Scoggin Inc.s balance sheets at December 31, 2016 and 2017, are presented here. Scoggins net income for 2017 was
Exercise 17-5
The current sections of Scoggin Inc.s balance sheets at December 31, 2016 and 2017, are presented here. Scoggins net income for 2017 was $152,300. Depreciation expense was $24,800.
| 2017 | 2016 | |||
| Current assets | ||||
| Cash | $102,100 | $96,100 | ||
| Accounts receivable | 108,100 | 80,600 | ||
| Inventory | 157,100 | 171,500 | ||
| Prepaid expenses | 26,500 | 26,000 | ||
| Total current assets | $393,800 | $374,200 | ||
| Current liabilities | ||||
| Accrued expenses payable | $14,400 | $8,300 | ||
| Accounts payable | 85,500 | 95,600 | ||
| Total current liabilities | $99,900 | $103,900 |
Prepare the net cash provided by operating activities section of the companys 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 | ||
| Increase in Prepaid Expenses Depreciation Expense Decrease in Inventory Increase in Inventory Net Income Increase in Accrued Expenses Payable Decrease in Accrued Expenses Payable Decrease in Prepaid Expenses Decrease in Accounts Payable Decrease in Accounts Receivable Increase in Accounts Payable Increase 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 Accounts Receivable Decrease in Accounts Payable Increase in Accounts Payable Net Income Increase in Prepaid Expenses Increase in Accounts Receivable Depreciation Expense Increase in Inventory Decrease in Inventory Increase in Accrued Expenses Payable Decrease in Prepaid Expenses Decrease in Accrued Expenses Payable | $ | |
| Depreciation Expense Net Income Increase in Accounts Receivable Decrease in Inventory Increase in Inventory Increase in Accrued Expenses Payable Decrease in Accrued Expenses Payable Decrease in Accounts Receivable Increase in Prepaid Expenses Decrease in Prepaid Expenses Decrease in Accounts Payable Increase in Accounts Payable | ||
| Decrease in Accrued Expenses Payable Decrease in Inventory Decrease in Accounts Payable Net Income Increase in Accounts Payable Increase in Inventory Increase in Accounts Receivable Depreciation Expense Decrease in Prepaid Expenses Increase in Accrued Expenses Payable Increase in Prepaid Expenses Decrease in Accounts Receivable | ||
| Decrease in Inventory Increase in Accrued Expenses Payable Decrease in Accounts Payable Decrease in Accounts Receivable Decrease in Accrued Expenses Payable Increase in Accounts Receivable Increase in Inventory Net Income Increase in Prepaid Expenses Decrease in Prepaid Expenses Increase in Accounts Payable Depreciation Expense | ||
| Decrease in Accounts Payable Decrease in Accounts Receivable Increase in Accrued Expenses Payable Decrease in Prepaid Expenses Increase in Accounts Payable Increase in Accounts Receivable Increase in Inventory Net Income Increase in Prepaid Expenses Depreciation Expense Decrease in Inventory Decrease in Accrued Expenses Payable | ||
| Decrease in Accrued Expenses Payable Decrease in Prepaid Expenses Increase in Prepaid Expenses Increase in Inventory Decrease in Accounts Payable Decrease in Accounts Receivable Increase in Accounts Payable Increase in Accounts Receivable Net Income Depreciation Expense Decrease in Inventory Increase in Accrued Expenses Payable | ||
| Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash Used by Financing Activities Net Cash Used by Investing Activities Net Cash Used by Operating Activities Net Decrease in Cash Net Increase in Cash | $ | |
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